NORTON, Mass., Sept. 26, 2019 (GLOBE NEWSWIRE) -- CPS Technologies Corporation (Nasdaq:CPSH) today announced that it has entered into a new three year $2.5 million credit facility with The Massachusetts Business Development Corporation. The new credit facility replaces the $1.25 million credit facility with Santander Bank, due to expire on September 30, 2019. Net availability under the facility will be 80% of eligible accounts receivable and is secured by accounts receivable, inventory and other assets of the company.

Chuck Griffith, Chief Financial Officer, stated, “Our new credit facility provides us with additional access to capital and provides us with more flexibility in meeting the needs of our expected growth. We are now able to include most of our foreign accounts receivable in the eligible accounts receivable category, significantly increasing our availability over that of our previous credit facility. Payment terms with some foreign customers are quite long; the increased availability of this credit facility will allow us to stop offering discounts for earlier payment to certain customers which will have a positive impact on both our top and bottom line. We are pleased to be working with The Massachusetts Business Development Corporation and believe they will be able to meet our capital needs for the foreseeable future.”

About CPS

CPS Technologies Corporation is a global leader in producing metal-matrix composite components used to improve the reliability and performance of various electrical systems. CPS products are used in motor controllers for hybrid and electric vehicles, high-speed trains, subway cars and wind turbines. They are also used as heat spreaders in internet switches, routers and high-performance microprocessors. CPS also develops and produces metal-matrix composite armor.