Metal additive manufacturing company Desktop Metal is set to move into the polymer 3D printing market through a major 300 million USD acquisition of EnvisionTEC, consisting of a combination of cash and newly issued Desktop Metal stock.
The transaction, which is set to close in the first quarter of 2021 subject to customary closing conditions, will see the near 20-year-old digital light processing (DLP) originator operate as a wholly owned subsidiary of Desktop Metal with EnvisionTEC founder Al Siblani continuing to serve as Chief Executive Officer.
“I’m thrilled to partner with Al and the EnvisionTEC team to bring significant growth to the additive market,” said Ric Fulop, Founder and Chief Executive Officer of Desktop Metal. “EnvisionTEC is a true pioneer and responsible for many of the leading technologies widely used today to produce end-use photopolymer parts through additive manufacturing. Together, Desktop Metal and EnvisionTEC have an opportunity to shape the future of Additive Manufacturing 2.0 and transform how parts are made around the world. I look forward to welcoming EnvisionTEC to the Desktop Metal team to deliver world-class additive manufacturing solutions that help make our customers successful.”
Joining Desktop Metal’s portfolio of metal and composite technologies ranging from office friendly to production machines, EnvisonTEC’s legacy in developing photopolymer 3D printers for a broad range of industries will see Desktop Metal more than double its global distribution network and sales capabilities to 68 countries. Furthermore, according to a press release, Desktop Metal plans to leverage EnvisionTEC’s leadership in the jewellery and dental markets, in which EnvisionTEC tripled its number of Envision One shipments from 2019 to 2020 with over 1,000 dental customers now using its printers for end-use parts, to sell its metal systems into those verticals.
“I am excited and honoured to partner with Ric and the Desktop Metal team to deliver end-use parts in both metal and polymers as we implement Ric’s vision on the future of Additive Manufacturing 2.0,” said Siblani. “Bringing the two companies together will deliver a global footprint of customers that can cross-benefit from our combined technology platforms. I believe we have many opportunities to scale the business, disrupt traditional manufacturing, expand our customer base, and create value for our shareholders.”
EnvisionTEC is said to have over 5,000 customers across a range of industries including healthcare, automotive, aerospace, and biofabrication with names such as Cartier, Ford, and Smile Direct Club using its products and materials. Most recently, the company has focused on material developments with brands such as Henkel and also launched its latest Envision One and Xtreme 8K 3D printers, the latter of which is set to begin commercial shipments later this quarter and features what is thought to be the largest build area for a production-focused DLP printer. In addition to DLP, EnvisionTEC’s hardware line-up also includes biofrabrication systems for bioprinting applications such as soft tissue creation, and an industrial-scale robotic additive manufacturing (RAM) platform for digital casting.
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