Micron Solutions, Inc. Completes Sale-Leaseback Transaction

Micron Solutions, Inc. Completes Sale-Leaseback Transaction




Micron Solutions, Inc. Completes Sale-Leaseback Transaction

FITCHBURG, Mass., June 10, 2021 (GLOBE NEWSWIRE) — Micron Solutions, Inc. (OTCQB: MICR) (the “Company”), a diversified contract manufacturing organization, through its wholly-owned subsidiary, Micron Products, Inc., producing highly-engineered, innovative components requiring precision machining and injection molding, completed the closing of the sale and leaseback of the Company’s main manufacturing facility at 41 Sawyer Passway, Fitchburg, Massachusetts.

CEO Bill Laursen commented, “We are happy to report that we have brought the sale-leaseback transaction on terms consistent with our previous disclosure to a successful close, which will provide Micron with additional financial resources as we seek to take advantage of a number of new customer opportunities.”

CFO Wayne Coll commented, “The sale of 41 Sawyer Passway provided proceeds of approximately $3.8 Million, of which $3.07 Million was used to pay off all of the Company’s term and revolving debt with our former lender, with the remainder available for use by the Company. Additionally, we are currently negotiating a new revolving credit facility with a commercial bank that will provide us with additional capital resources. We expect to close on this second financing transaction within the next thirty to sixty days.”

About Micron Solutions, Inc.

Micron Solutions, Inc., through its wholly-owned subsidiary, Micron Products, Inc., is a diversified contract manufacturing organization that produces highly-engineered, innovative medical device components requiring precision machining and injection molding. The Company also contract manufactures components, devices and equipment for military, law enforcement, industrial and automotive applications. In addition, the Company is a market leader in the production and sale of silver/silver chloride coated and conductive resin sensors used as consumable component parts in the manufacture of integrated disposable electrophysiological sensors. The Company’s strategy for growth is to build a best-in-class contract manufacturer with a specialized focus on plastic injection molding and highly-engineered medical devices and components requiring precision machining.

The Company routinely posts news and other important information on its website: http://www.micronsolutions.com.

Safe Harbor Statement

Forward-looking statements made herein, including but not limited to, the ability to take advantage of new customer opportunities, an expected rise in economic activity, and the terms, conditions, timing and ability to close on a new revolving credit facility are based on current expectations of Micron Solutions, Inc. (“our” or the “Company”) that involve a number of risks and uncertainties and should not be considered as guarantees of future performance. Therefore, actual results may differ materially from what is expressed in or implied by these forward-looking statements. The factors that could cause our actual results of operations, financial condition, performance or achievements to be affected materially include, but are not limited to, our ability to obtain and retain order volumes from customers who represent significant proportions of net sales; our ability to maintain our pricing model, offset higher costs with price increases and/or decrease our cost of sales; variability of customer delivery requirements; the level of and ability to generate sales of higher margin products and services; our ability to manage our level of debt and provisions in any current or future debt agreements which could make the Company sensitive to the effects of economic downturns and limit our ability to react to changes in the economy or our industry; failure to comply with financial and other covenants in any current or future credit facility; our ability to enter into a new credit facility on terms of commercially reasonable terms or at all; the impact on the Company’s financial results due to economic uncertainty and disruption including, but not limited to, recent events concerning COVID-19; reliance on revenues from exports and impact on financial results due to economic uncertainty or downturns in foreign markets; volatility in commodity and energy prices and our ability to offset higher costs with price increases; continued availability of supplies or materials used in manufacturing at competitive prices; variations in the mix of products sold; and the amount and timing of investments in capital equipment, sales and marketing, engineering and information technology resources. The Company assumes no obligation to update the information included in this press release, whether as a result of new information, future events or otherwise. More information about the Company’s financial results is included in the Company’s Quarterly Report for the quarter ended March 31, 2021 and our most recent Annual Report for the fiscal year ended December 31, 2020, which are posted at https://www.otcmarkets.com/stock/MICR/ and http://www.micronsolutions.com.

For more information, contact:
 
Mr. Wayne Coll
Chief Financial Officer
978.345.5000