Monday, 05 October 2015 08:30 AM
Documents Signed with an Effective Close Date of August 31, 2015
TUSTIN, CA / ACCESSWIRE / October 5, 2015 / M Line Holdings, Inc. (PINKSHEETS: MLHC) ("M Line"), is pleased to announce that M Line has completed the acquisition of the Byran Company.
- Byran's current revenue exceeds $6 million per year and is generating over $600,000 net profit, (EBITDA $750,000). The liabilities of Byran are less than $60,000. The hidden benefits to this transaction are the wealth of programming data stored by Byran. With some 70 + CNC and screw machines, Byran has enormous growth potential. It is currently operating at approximately 40% of its capabilities.
- M Line is paying $4.7 million for Byran. M Line has arranged financing through the current owners of Byran for $3.6 million paid over seven year. Interest at 3.5% per annum does not start until January 1, 2017 and if the capital is paid off within any year of the note interest is waived for that year. Payments of $40,000 per month will be made commencing January 1, 2016 and payments of $48,105.40 including interest will continue from January 1, 2017. The down payment is $1.1 million. If the loan is paid off in any year of the loan all interest in that year and any future interest is waived.
- Many of Byran's staff have been with the Company for many years. This is a very experienced team of personnel. Byran's current President will stay with the Company for nine months on a salary of $1.00 for the period and is then available on a consulting basis if needed.
- Byran is known for its engineering capabilities, in both the aerospace and medical industries, assisting customers with design and development of difficult parts and assemblies.
- M Line will continue this aspect of the business, which sets Byran apart from its competitors, while adding additional customers and growing its business from its current customer base.
- Byran has two key customers bringing our core customer base to six reducing any reliance on any one customer. In 2013 M Line's precision manufacturing division had one core customer representing over 60% of our manufacturing business.
Tony Anish, COO of M Line stated, "This is a critical step in the growth plans of M Line. We are really excited about the addition of Byran as the first step in our growth plans. There are other planned acquisitions, some that have been discussed previously, and some new potential targets, which are planned for Fiscal 2016."
M Line is a leading provider of manufactured precision metal products, assemblies and services to the high tech segment of aerospace, defense, medical and other industries with key customers that include Panasonic Avionics, UTC Aerospace Systems, and other leading aerospace customers. In addition M Line has started to trade in its business services division providing business, financial and other services to its clients and the restart in the near future of its machinery sales division.
For more information on M Line see our website at http://www.mlineholdings.com/
Safe Harbor and Informational Statement:
This press release may contain forward-looking information within the meaning of Section 21E of the Security Exchange Act of 1934, as amended (the Exchange Act), including all statements that are not statement of historical fact regarding the intent, belief or current expectations of the company, its directors or its officers with respect to, among other things: (i) the company's financing plans; (ii) trends affecting the company's financial conditions or results of operations; (iii): the company's growth strategy and operating strategy; and (iv) the declaration and payment of dividends.
The words "may", "would", "will", "expect", "estimate", "anticipate", "believe", "intend", and similar expressions and variations thereof are intend to identify forward-looking statements. Investors are cautioned that any such forward-looking statement are not a guarantee of future of future performance and involve risks and uncertainties, many of which are beyond the company's ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors including the risk disclosed in the company's statements and reports filed with the OTC Markets. The Company claims the safe harbor provided by Section 21E(c) of the Exchange Act for all forward-looking statements.
For more information contact Tony Anish:
Phone: 714.630.6253 ext. 101
Email: [email protected]
SOURCE: M Line Holdings, Inc.