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Nortech Systems Inc. has closed a new credit facility of up to $21 million with Bank of America Merrill Lynch, with an additional $20 million accordion feature.
"This important agreement is an endorsement of the corporate strategies we outlined at last month's annual shareholder meeting," said Rich Wasielewski, Nortech Systems' president and CEO. "As we have expanded globally to serve larger multinational customers, we are pleased to be working with a world leader like Bank of America Merrill Lynch. They are well-qualified to serve our financial needs through their U.S. and international treasury services."
Aided by this new agreement, Nortech's initiatives to increase shareholder value include: further penetrating the higher-growth medical market with enhanced engineering services; transforming core contract manufacturing business by earlier engagement with customers and efficient process management; and funding investments in automation and intellectual property. Additional features of the new line of credit include lower costs and the ability to utilize the accordion feature to expand the credit facility, subject to further conditions, to fund research and development activities and potential strategic acquisitions.
"We're committed to helping our customers succeed by providing competitive solutions through our highly skilled personnel and specialized engineering resources," concludes Wasielewski. "We look forward to the guidance and support Bank of America Merrill Lynch will provide to help us grow Nortech for the benefit of our shareholders, employees and customers."
About Nortech Systems Inc.
Nortech Systems Incorporated, based in Maple Grove, Minn., is a full-service electronics manufacturing services (EMS) provider of wire and cable assemblies, printed circuit board assemblies, and higher-level complete box build assemblies for a wide range of industries. Markets served include medical, industrial and aerospace/defense. The company has operations in the U.S., Latin America and Asia. Nortech Systems Incorporated is traded on the NASDAQ Stock Market under the symbol NSYS. For more information, click here.