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Contact:
Patty Kehe
Corporate Secretary
Dynasil Corporation of America
Phone: (617) 668-6855
pkehe@dynasil.com

Dynasil Moves to Reduce Credit Cost
Company Prepays $2 Million of 10% Subordinated Debt

Newton, Mass., October 7, 2015 - Dynasil Corporation of America
("Dynasil" or the "Company") (NASDAQ: DYSL), a developer and manufacturer
of optics and photonics products, optical detection and analysis
technology and components for the homeland security, medical and
industrial markets, announced today that it made $2 million of optional
prepayments on its $3 million principal amount of  subordinated debt with
Massachusetts Capital Resource Company ("MCRC").  In connection with the
prepayment, MCRC agreed to reduce the interest rate from ten percent to
six percent per year, as well as extend the term of the remaining debt
one year to July 31, 2018.

Subsequent to the prepayment, as of October 1, 2015, the Company had $1
million of subordinated debt outstanding owed to MCRC.  Additionally, the
Company has $1.4 million senior debt owed to Middlesex Savings Bank on
its $4 million line of credit.  As a result of the prepayment and rate
reduction, the Company expects to save approximately $240,000 annually.

"I am pleased with our continuing success at reducing both our total
outstanding debt and our associated interest costs," said Peter Sulick,
President and Chief Executive Officer of Dynasil. "With our improved
financial condition, we look forward to future opportunities to grow
Dynasil, both organically and through acquisitions."

About Dynasil

Dynasil Corporation of America (NASDAQ: DYSL) develops and manufactures
optical detection and analysis technology and components for the homeland
security, medical and industrial markets.
Combining world-class expertise in research and materials science with
extensive experience in manufacturing and product development, Dynasil is
commercializing products including dual-mode radiation detection
solutions for Homeland Security and commercial applications and sensors
for non-destructive testing.  Dynasil has an impressive and growing
portfolio of issued and pending U.S. patents.  The Company is based in
Watertown, Massachusetts, with additional operations in Mass., Minn., NY,
NJ and the United Kingdom. More information about the Company is
available at www.dynasil.com.



Safe Harbor

This news release may contain forward looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.  These
forward-looking statements regarding future events and our future results
are based on current expectations, estimates, forecasts, and projections
and the beliefs and assumptions of our management, including, without
limitation, our expectations regarding results of operations, the
adequacy of our current financing sources to fund our current operations,
future loan payments and the impact of the refinancing on Dynasil's
financial position and growth strategy.  These forward-looking statements
may be identified by the use of words such as "plans", "intends," "may,"
"could," "expect," "estimate," "anticipate," "continue" or similar terms,
though not all forward-looking statements contain such words.  The actual
results of the future events described in such forward looking statements
could differ materially from those stated in such forward looking
statements due to a number of important factors. These factors that could
cause actual results to differ from those anticipated or predicted
include, but are not limited to, continuation of existing market
conditions, the demand for our products, the borrowing availability under
our line of credit or the absence thereof and the uncertainties set forth
in the Company's 2014 Annual Report on Form 10 K, filed December 16,
2014, including the risk factors contained in Item 1a, the Company's
Quarterly Reports on Form 10-Q filed on February 17, 2015, May 13, 2015
and August 12, 2015 and from time to time in the Company's other filings
with the Securities and Exchange Commission. The Company disclaims any
intention or obligation to update any forward-looking statements, whether
as a result of new information, future events or otherwise.