ADDvantage Technologies sells headquarters, other property

BROKEN ARROW — ADDvantage Technologies Group Inc. has signed an agreement to sell its property in Broken Arrow to Dave Chymiak, a member of the company’s board and its chief technology officer, for $5 million, the company said Monday.

The sale is expected to close this month, the company said. ADDvantage plans to use the money to pay off the company’s $2.5 million debt to Bank of Oklahoma, N.A., which matures Oct. 31, the company said.

The remainder of the sale proceeds will be used to fund working capital of the company and its subsidiaries.

The facility in Broken Arrow consists of the company’s headquarters, additional offices, warehouse and a service center of about 162,500 square feet on 10 acres. Upon closing of the sale, Tulsat, LLC, one of the Company’s subsidiaries, will enter into a 10-year lease for the facility with Chymiak, which will enable the company to continue to operate its headquarters and certain cable TV segment operations out of the facility.

CEO Joe Hart said the property sale “will provide a cash injection that we will use to pay off our Bank of Oklahoma loans and allow us to continue executing on our growth strategy. We believe this is a financially prudent and necessary step, and since we will be able to continue to lease the facility uninterrupted, we are confident that this decision will not impact the cable TV operations that are housed at the facility in Broken Arrow.”