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Dynasil Sells Navigator Product Line



                     Dynasil Sells Navigator Product Line

Proceeds Used to Reduce Bank Debt

PR Newswire

WATERTOWN, Mass., Dec. 24, 2013

WATERTOWN, Mass., Dec. 24, 2013 /PRNewswire/ -- Dynasil Corporation of America
(NASDAQ: DYSL), a developer of sensing, detection and analysis technology for
homeland security, medical and industrial applications, today announced the
December 23, 2013 sale of the assets of its Navigator Gamma Medical Probe
product line to Dilon Technologies, Inc. of Newport News, Virginia.

This transaction is a step in the previously announced strategy to restructure
the Company to improve liquidity and pay down bank debt.   The consummation of
this divestiture resulted in a payment to Santander Bank, N.A., the Company's
primary lender, of approximately $2.75 million, which reduced the balance of
the Company's outstanding indebtedness to Santander to approximately $2.4
million.  As previously reported, at September 30, 2012, the Company's
indebtedness to Santander was approximately $9.0 million, a reduction of $6.6
million over the past 15 months.  The Company also has a subordinated $3
million note to Massachusetts Capital Resource Corporation which is not yet
due.

"We are pleased to announce the completion of this divestiture, which marks a
key step in our strategy to reduce debt and operational expenses and return
Dynasil to positive EBITDA and profitability," said Peter Sulick, Chairman and
CEO of Dynasil. "Combined with the sale of the XRF assets, this divestiture
has allowed us to substantially reduce our outstanding bank debt balance.  At
the present time, we do not foresee further asset sales.  We expect to
amortize our bank debt in accordance with our standard amortization schedule,
which should result in the primary bank debt being completely paid off over
the next 15 months."

"We expect the combination of these divestitures, selective expense
reductions, the spinoff of our tissue sealant technology and improvements in
operational performance of our remaining businesses will result in a
significant turnaround in the company's results. The past 18 months have been
difficult but constructive," continued Mr. Sulick. "While we have had to write
off a substantial amount of intangible assets incurred in a prior acquisition
and sell off the associated product lines, we have not missed a single bank
payment to our primary lender and have more cash today than a year ago.  Our
research division weathered the government shutdown without a furlough and
continues to have a substantial backlog of project work across a broad range
of scientific fields.  We are excited about the prospects of our optics group
which has been experiencing an uptake in business over the past 18 months as a
result of both new product development and an investment in sales management.
" 

About Dynasil
Dynasil Corporation of America (NASDAQ: DYSL) develops and manufactures
detection and analysis technology, precision instruments and optical
components for the homeland security, medical and industrial markets including
medical imaging and sensors for non-destructive testing. Dynasil has an
impressive and growing portfolio of issued and pending U.S. patents. The
Company is based in Watertown, Massachusetts, with additional operations in
MA, MN, NY, NJ and the United Kingdom. More information about the Company is
available at www.dynasil.com.

Safe Harbor
This news release may contain forward looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995.  These forward-looking
statements regarding future events and our future results are based on current
expectations, estimates, forecasts, and projections and the beliefs and
assumptions of our management.  These forward-looking statements may be
identified by the use of words such as "plans", "intends," "may," "could,"
"expect," "estimate," "anticipate," "continue" or similar terms, though not
all forward-looking statements contain such words.  The actual results of the
future events described in such forward looking statements could differ
materially from those stated in such forward looking statements due to a
number of important factors. These factors that could cause actual results to
differ from those anticipated or predicted include, without limitation, our
ability to develop and commercialize our products, the size and growth of the
potential markets for our products and our ability to serve those markets, the
rate and degree of market acceptance of any of our products, general economic
conditions, costs and availability of raw materials and management information
systems, our ability to obtain and maintain intellectual property protection
for our products, competition, the loss of key management and technical
personnel, our ability to obtain timely payment of our invoices to
governmental customers, litigation, the effect of governmental regulatory
developments, the availability of financing sources, our ability to identify
and execute on acquisition opportunities and integrate such acquisitions into
our business, and seasonality, as well as the uncertainties set forth in the
Company's 2012 Annual Report on Form 10 K, as amended on February 14, 2013,
including the risk factors contained in Item 1a, the Company's Quarterly
Reports on Form 10-Q filed on February 13, 2013, May 15, 2013 and August 12,
2013 and from time to time in the Company's other filings with the Securities
and Exchange Commission. The Company disclaims any intention or obligation to
update any forward-looking statements, whether as a result of new information,
future events or otherwise.

Contacts: Patty Kehe
Corporate Secretary
Dynasil Corporation of America
Phone: (617) 668-6855
pkehe@dynasil.com

 

SOURCE Dynasil Corporation of America

Website: http://www.dynasil.com
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