AUSTIN, TX and VALLEY VIEW, OH, Nov 07, 2013 (Menafn - Marketwired via COMTEX) --Applied Nanotech Holdings, Inc. (otcqb:APNT), a global leader innanotechnology research and development, and Nanofilm, Ltd.,("Nanofilm") a private company with a leading market position forspecialty optical coatings, cleaners and nano-composite products,jointly announced in an October 31, 2013 press release that theysigned a Letter of Intent ("LOI") to combine through a stock swaptransaction. The combination of the companies is expected to be a reverse merger whereby Nanofilm owners are expected to own 62% of the new combined company. The new combined company plans to remain a publicly traded company and change its name to PEN Inc.

The closing of the proposed merger is conditioned upon APNT and Nanofilm obtaining working capital financing; completion of due diligence; signing of a definitive merger agreement containing customary representations, warranties, and closing conditions; SECapproval of APNT's proxy statement; approval by the respective boards of directors; approval by the shareholders of APNT; and approval by the owners of Nanofilm.


About APNT (otcqb:APNT)

Applied Nanotech Holdings, Inc. (APNT) is an Austin, Texas-basedglobal leader in nanotechnology research and development and hasongoing research programs and license agreements with productinnovators around the world. For information about Applied NanotechHoldings, Inc., please visit http://www.appliednanotech.net

About Nanofilm, Ltd.

Nanofilm, Ltd. is a Valley View, Ohio private company that developsnano-layer coatings, nano-based cleaners, and nano-compositeproducts. Nanofilm's primary commercial products center around itsunique eyecare glass cleaning and de-fogging products; other productsinclude precision mold release treatments, stay-clean surfacetreatments for ceramic insulators, and scuff-resistant treatments forcommercial dinnerware. For information about Nanofilm, please visithttp://www.nanofilmtechnology.com.

DISCLOSURE NOTICE: The information contained in this release is as ofNovember 7, 2013. APNT and Nanofilm assume no obligation to updateforward-looking statements contained in this release as the result ofnew information or future events or developments.

This release contains forward-looking information that involvessubstantial risks and uncertainties about the proposed merger of APNTand Nanofilm and their expectations regarding expansion and productdevelopment. Such risks and uncertainties include, among otherthings, the uncertainty regarding the completion of due diligence,completion of working capital financing, entry into a definitivemerger agreement, approval by the respective board of directors,shareholders and owners of APNT and Nanofilm, and market acceptanceof products using their technologies.

A further description of risks and uncertainties regarding APNT'sbusiness can be found in its Annual Report on Form 10-K for thefiscal year ended December 31, 2012 and in its reports on Form 10-Qand Form 8-K.


ADDITIONAL INFORMATION AND WHERE TO FIND IT

In connection with the merger of APNT and Nanofilm discussed in thispress release, APNT will be filing a proxy statement and relevantdocuments concerning the transaction with the Securities and ExchangeCommission ("SEC"). SECURITY HOLDERS OF APNT ARE URGED TO READ THEPROXY STATEMENT AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SECWHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANTINFORMATION. Investors and security holders can obtain free copies ofthe proxy statement and other documents when they become available bycontacting our Investor Relations Department, 3006 LonghornBoulevard, Suite 107, Austin, Texas 78758 (telephone:(512)339-5020). In addition, documents we filed with the SEC are availablefree of charge at the SEC's web site at http://www.sec.govand at ourwebsite www.appliednanotech.net under "Investor Information - SECFilings."

APNT and its directors and executive officers and other persons maybe deemed to be participants in the solicitation of proxies inrespect of the proposed merger of APNT and Nanofilm. Informationregarding our directors and executive officers is available in ourAnnual Report on Form 10-K for the year ended December 31, 2012,which was filed with the SEC on March 1, 2013, and the proxystatement and other relevant materials to be filed with the SEC inconnection with these matters. Other information regarding theparticipants in the proxy solicitation and a description of theirdirect and indirect interests, by security holdings or otherwise,will be contained in the proxy statement and other relevant materialsto be filed with the SEC when they become available.

Contact Information:
Lynn Lilly
Director of Communication
Nanofilm, Ltd.
Email Contact
(216) 447 - 1199 ext. 119


SOURCE: Applied Nanotech Holdings, Inc.

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