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M-tron Industries Responds to U.S. Defense Sector Changes with New Rights Offering

M-tron Industries, Inc. (NYSE American: MPTI), a prominent provider of high-performance radio frequency (RF) solutions, has announced a strategic rights offering to boost its financial flexibility. This move is critical as the U.S. defense sector undergoes significant transformations amid escalating global conflicts and advancements in warfare technology.

Adapting to Change

The need for agile, software-centric defense systems necessitates a transformation within the procurement process. M-tron is poised to meet these demands, ensuring that U.S. military forces have efficient access to vital electronic components. The company is gearing up to play an essential role in supplying joint forces as the Department of War seeks to accelerate the production of critical systems. With an eye on the market dynamics, M-tron aims to seize this opportunity through the proposed capital raise.

Financial Flexibility and Growth

The funds raised from the rights offering, estimated to be around $42.7 million if fully subscribed, will empower M-tron to pursue potential acquisitions and enhance its operational capabilities. The financial support is intended for various strategic initiatives, including:

• - Making accretive acquisitions,
• - Conducting financial engineering efforts like carve-outs,
• - Executing transactions that create significant scale,
• - Investing in strategic projects,
• - Expanding internal capacities to meet evolving market demands.

Rights Offering Structure

Here are the key features of M-tron Industries' rights offering:

• - Record Date: 5:00 p.m. ET, March 27, 2026 – shareholders will receive one subscription right for each share held.
• - Trading Symbol: The rights will be traded on NYSE American under the symbol “MPTI RT” from March 31, 2026, until April 13, 2026.
• - Subscription Price: The price for acquiring new shares will be at a discount of approximately 10-12% compared to average trading prices prior to the record date.
• - Oversubscription Privilege: Existing shareholders will have the opportunity to subscribe for additional shares in the event of remaining unsold shares, subject to pro-rating if there is high demand.

Commitment to Shareholders

M-tron emphasizes that this rights offering is a proactive measure to ensure continuous shareholder value increase. The leadership team sees this not only as an opportunity for growth but also as commitment to deliver enhanced profits and returns for shareholders. The funding could also aid in addressing working capital needs and capital expenditures while potentially refinancing existing debts.

Next Steps and Timeline

The rights offering is set to commence following the Record Date, concluding at 5:00 p.m. ET on April 15, 2026. Logistical details, including the rights agreement and corresponding prospectus, will be made available once filed with the Securities and Exchange Commission (SEC). M-tron urges their stockholders to stay informed on the developments surrounding this opportunity.

About M-tron Industries

Founded with a focus on delivering high reliability RF solutions, M-tron Industries, Inc. provides an array of products that are integral to its customers. With facilities across Orlando, Florida, and Yankton, South Dakota, along with international offices, M-tron dedicates its resources towards enhancing product life cycles, from prototyping to upgrades. This latest rights offering represents M-tron’s commitment to enhancing technological advancements within defense, underscoring its critical role in this sector.

As M-tron navigates the evolving landscape, it remains focused on equipping its stakeholders with the necessary information to take informed action in this significant financial undertaking.