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CVD FINANCIAL ANNOUNCES COMPLETION OF INITIAL PUBLIC OFFERING

 PASADENA, Calif., Aug. 19 /PRNewswire/ -- CVD Financial Corp. (AMEX: CVL, CVL.A) announced today the completion of its initial public offering of 10,000 units at $5,750 a unit resulting in gross proceeds of $57.5 million. Each unit is comprised of 200 shares of CVD Financial common stock and five $1,000 15-year variable rate bonds. The common stock and the bonds have been listed for trading on the American Stock Exchange under the symbols "CVL" and "CVL.A" respectively.
 CVD Financial Corp. was formed in June 1993 as a financial services company to engage principally in asset based commercial lending to companies which are unable to obtain financing from traditional sources. CVD Financial plans to focus its lending activities on emerging growth companies in the manufacturing and/or service sectors which plan to raise capital in the public markets within a reasonably short period of time. The company plans to make only secured loans collateralized by "accounts receivable, inventory, commercial real estate, equipment and other tangible assets."
 Bondholders will receive interest payable semi-annually on or about Jan. 25 and July 25 of each year commencing Jan. 25, 1994. Variable interest will be the greater of Citibank, N.A.'s prime rate or 80 percent of the company's "portfolio yield" (interest earned from the loan portfolio plus the net proceeds from the sale of warrants or other forms of equity "kickers" acquired by the company in connection with its loan portfolio, less additions to loan loss reserves and/or loan write- offs during the applicable period).
 Prior to the offering, the company was a wholly owned subsidiary of Conversion Industries Inc. (AMEX: CVD). Conversion still retains approximately 49 percent equity ownership.
 HD Brous and Co. Inc. of Great Neck, N.Y., was the managing underwriter of the offering, and Tamaron Investments Inc. of Englewood, Colo. was the co-underwriter.
 -0- 8/19/93
 /CONTACT: Donald B. Clark, chairman of the board of CVD Financial, 818-793-7526; or William F. Coffin, president of Coffin Communications, 818-578-0500, for CVD Financial/
 (CVL)


CO: CVD Financial Corp. ST: California IN: FIN SU: OFR

MF-BP -- LA016 -- 4418 08/19/93 15:08 EDT
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Publication:PR Newswire
Date:Aug 19, 1993
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