7.3 C
New York
Saturday, December 9, 2023

What Boosted Syntec (OPTX) Stock Last Session

The shares of Syntec Optics Holdings, Inc. (NASDAQ: OPTX) experienced a notable surge in the recent trading session. Syntec Optics stock soared 41.01%, concluding the Friday session at $5.57. The boost in OPTX stock came on the heels of winning a significant contract and the strategic refinancing of a term loan.

In a significant development, Syntec Optics (OPTX) unveiled its success in securing a contract for the production of 10,000 objectives for night vision scopes, scheduled for delivery in 2023. The company had previously introduced the Viper, a novel set of lightweight eyepiece and objective lenses designed for night vision goggles. As a result of the contract award, Syntec Optics has been recognized as the optimal solution provider for the customer’s specific night vision optics requirements.

Elon Musk just Triggered a BOOM in These Stocks

Something strange is happening in the stock market…. This select group of stocks are going absolutely bananas. And it's all because of Elon Musk. Get your copy of "Top 5 Tech Stocks to Buy in 2024"

Click Here to Download the FREE Report.

Sponsored

This achievement underscores the commendable collaboration and performance exhibited by the OPTX engineering and operations teams throughout the year. Furthermore, this contract win serves as evidence of OPTX’s prowess in securing additional contracts, thereby consolidating customer expenditure in these domains with a single, high-performing provider.

Projections indicate that the global market size for image intensifiers used in night vision goggle systems will approach nearly one billion dollars by 2027. The eyepiece and objective optics, integral components of the night vision goggles, contribute significantly to this market. Syntec Optics remains committed to leveraging its high-performance imaging solutions from the night vision product sector to foster expansion into other scope markets.

In addition to its contract success, Syntec Optics announced a refinancing initiative for its commercial banking loan agreements, securing more favorable terms. This strategic move involves an extension of the maturity dates of existing loans, a 25% increase in the line of credit. It also has an 85 basis points reduction in interest rates across all existing loan facilities, the addition of a new $5,000,000 loan/lease facility. The refinancing also allows an elevation of the funded debt to TTM EBITDA ratio from 3.0x to 3.5x.

The financial restructuring aligns with OPTX’s heightened production efforts in ultra-precision satellite optics, aimed at meeting the OEM’s rollout schedule for satellite-to-cell phone service. A prominent cellular service provider has analogously likened the OEM satellite mega-constellation to the deployment of a cellular tower in low earth orbit.

Latest news

Related news

LEAVE A REPLY

Please enter your comment!
Please enter your name here