Mechanical Technology, Incorporated Announces Initial Dividend for Series A Preferred Stock

Rhea-AI Summary

Mechanical Technology, Incorporated (NASDAQ: MKTY) has declared a monthly dividend of 9.0% on its Series A Cumulative Perpetual Preferred Stock. This dividend will be paid on October 31, 2021, to shareholders recorded by the close of business on October 18, 2021. This includes 86,585 shares issued on September 28, 2021. The dividend on the Series A Preferred Stock is payable in arrears monthly and is based on a $25.00 liquidation preference per share. The stock symbol for the preferred shares is MKTYP.

Positive

• Declaration of a monthly dividend at a 9.0% annual rate, providing income for shareholders.
• Recent issuance of 720,000 shares of Series A Preferred Stock, expanding capital base.

Negative

• None.

ALBANY, N.Y., Oct. 08, 2021 (GLOBE NEWSWIRE) -- via NewMediaWire – Mechanical Technology, Incorporated (“MTI” or the “Company”), (NASDAQ: MKTY), the parent company of EcoChain, Inc. (“EcoChain”), a cryptocurrency mining business powered by renewable energy, and  MTI Instruments, Inc. (“MTI Instruments”), a test and measurement instruments and systems business, today announced that its Board of Directors has declared the regular monthly dividend on its shares of 9.0% Series A Cumulative Perpetual Preferred Stock, par value $0.001 per share (the “Series A Preferred Stock”). The dividend will be payable on or about October 31, 2021, to holders of the Series A Preferred Stock of record as of the close of business on October 18, 2021, for the month ended October 31, 2021 and with respect to the 86,585 shares of Series A Preferred Stock issued on September 28, 2021 (the “Option Shares”) for the period from September 28, 2021 through September 30, 2021. The Company announced the closing of 720,000 shares of Series A Preferred Stock offering, and the issuance of the Series A Preferred Stock, on August 23, 2021 and the issuance and sale of 86,585 Option Shares pursuant to the exercise of the underwriters overallotment option on September 28, 2021 (the “Option Issuance Date”). The initial dividend for the Option Shares accumulated from the Option Issuance Date. Dividends on the Series A Preferred Stock will be payable when, as and if declared by the Board of Directors monthly in arrears on the final day of each month or the next business day at an annual rate of 9.0% of the $25.00 liquidation preference per share.

The Series A Preferred Stock began trading on the Nasdaq Stock Market LLC under the symbol “MKTYP” on August 20, 2021.

About MTI

MTI is the parent company of MTI Instruments, Inc. and EcoChain, Inc. Through EcoChain, MTI develops cryptocurrency mining facilities powered by renewable energy that integrate with the blockchain network. Through MTI Instruments, MTI is engaged in the design, manufacture and sale of test and measurement instruments and systems that use a comprehensive array of technologies to solve complex, real-world applications in numerous industries. Those include manufacturing, electronics, semiconductor, solar, commercial and military aviation, automotive and data storage. For more information about MTI, please visit https://www.mechtech.com.

Forward-Looking Statements 

The statements in this press release with respect to the payment of dividends on the Series A Preferred Stock constitute forward-looking statements within the meaning of the federal securities laws. Forward-looking statements reflect management’s current expectations, as of the date of this press release, and are subject to certain risks and uncertainties that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Actual results could differ materially from those expressed or implied by such forward-looking statements as a result of various factors, including, but not limited to: (1) those risk factors set forth in the Company’s Registration Statement on Form S-1 (File No. 333-257300), as amended; and (2) other risks and uncertainties that may be detailed from time to time in MTI’s reports filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, the Company assumes no obligation to update or revise any forward-looking statements.

Contact Information:

Lisa Brennan 

lbrennan@mtiinstruments.com

Investor Relations:

Kirin Smith, President 

PCG Advisory, Inc.

646.823.8656

Ksmith@pcgadvisory.com

FAQ

What is the dividend amount for MKTY shareholders?

The dividend amount declared is 9.0% on the Series A Cumulative Perpetual Preferred Stock.

When will the dividend for MKTYP be paid?

The dividend will be payable on October 31, 2021.

What is the record date for the dividend payment for MKTY?

The record date for the dividend payment is October 18, 2021.

How often does MKTY pay dividends on its Series A Preferred Stock?

Dividends on the Series A Preferred Stock are paid monthly in arrears.

What is the significance of the $25.00 liquidation preference per share for MKTYP?

The $25.00 liquidation preference per share serves as the basis for calculating dividends and ensures minimum recovery for preferred shareholders.