M Line Holdings announced its new loan facility agreement with TCA Global Credit Master Fund L.P. has now funded. The first tranche of the facility is $1.7 million which pays off more expensive financing for Eran Engineering, Inc. ("Eran") and Elite Machine Tool Company ("Elite") and will result in a minimum of $300,000 per annum savings straight to the bottom line profit.

The total Line of Credit is for $10 million and the Company can obtain, dependent upon various criteria, multiple additional fundings in the future.

The facility bears interest initially at 18% per annum and is secured by the receivables and inventory of Eran and CNC machine tool inventory of Elite. Additional fees include a 3% facility fee and $200,000 in preferential shares in the Company that can be repurchased by the Company in six months for the same dollar amount.

The Company plans for the proceeds after loan repayments are twofold; first to increase inventory of CNC machines at Elite resulting in increased revenues and secondly to support the anticipated growth in revenues at Eran Engineering.

M Line Holdings, Inc.  acquires fundamentally-sound companies that are market accepted, scalable and demonstrate a quantifiable value proposition when properly managed. M Line's current focus is in the aerospace and medical manufacturing and precision equipment businesses.