SUPERIOR DRILLING PRODUCTS, INC. : Completion of Acquisition or Disposition of Assets, Other Events, Financial Statements and Exhibits (form 8-K)

Item 2.01 Completion of Acquisition or Disposition of Assets.

On December 7, 2020, Superior Drilling Products, Inc. (the "Company") completed the transactions contemplated by its previously announced sale-leaseback agreement for its headquarters and manufacturing facilities in Vernal, Utah.

The Company sold the property for $4.5 million and simultaneously entered into a 15-year lease. After fees, the Company received approximately $4.2 million in net proceeds of which $2.6 million was used to repay its outstanding mortgage on the property. Lease terms are for monthly payments that are $17 thousand less than current mortgage debt service.

Item 8.01 Other Events.

On December 7, 2020, the Company issued a press release announcing the closing of the sale-leaseback transactions. A copy of the press release is filed herewith as Exhibit 99.1.

On December 9, 2020, the Company issued a press release announcing that it has been awarded the AS9100D with ISO 9001:2015 certification for its quality management systems (QMS) and for meeting QMS requirements specific to the aviation, space and defense industry. ISO 9001:2015 is an international QMS standard developed and published by the International Organization for Standardization. AS9100D is an international QMS standard published by the Society of Automotive Engineers (SAE). The standards are based on several quality management principles, including an outlined process-based method, strong customer focus, and involvement of upper-level company leadership. Organizations worldwide use the standard to demonstrate the ability to consistently provide products and services that meet customer and regulatory requirements. A copy of the press release is filed herewith as Exhibit 99.2.

Item 9.01. Financial Statements and Exhibits.

Exhibit       Description
Number

10.1            Sale-leaseback agreement dated November 12, 2020 (incorporated by
              reference to Exhibit 10.1 to the Company's Current Report on Form
              8-K filed on November 17, 2020).
99.1            Press release dated December 7, 2020 regarding sale-leaseback
              agreement.
99.2            Press release dated December 9, 2020 regarding ISO
              Certification.

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