NNDM - 3D Systems submits revised merger proposal to Stratasys' board

2023-06-27 07:12:21 ET

3D Systems ( NYSE: DDD ) submitted an revised proposal to Stratasys' ( NASDAQ: SSYS ) board to combine the two companies in a cash and stock deal.

The transaction would convert each Stratasys ordinary share into $7.50 in cash and 1.3223 newly issued shares of 3D common stock.

Under the revised offer, the combination would result in Stratasys shareholders owning about 41% of the combined company and receiving about $540M in cash at the time of completion of the transaction, 3D added.

3D Systems increased its bid for Stratasys after the rival 3D printer maker said the offer wasn't superior to its planned merger with Desktop Metal ( DM ).

3D Systems' said the proposal announced on Tuesday has enhancements to its previous proposal submitted to Stratasys' board on May 30 and continues to be underscored by prior discussions between 3D Systems' and Stratasys' management teams.

3D noted that as of June 26, the proposal represents a value per Stratasys share of about $20 based on 3D Systems' 10-day volume-weighted average price (VWAP), representing a premium of 33% to Stratasys' closing share price on May 24, which was the last trading day before the announcement of the transaction with Desktop Metal.

Inclusive of estimated cost savings, represents a value of at least ~$26 per Stratasys share. 3D Systems would also be open to offering Stratasys shareholders the opportunity to choose their preferred consideration mix, subject to customary limits, the company added.

No CFIUS or ITAR approvals will be required, unlike the proposed Stratasys-Desktop Metal transaction, according to 3D.

"It is clear to us that we have presented the Stratasys Board with a superior proposal to the proposed Desktop Metal transaction," said 3D's President and CEO Jeffrey Graves.

Earlier in June, Nano Dimension ( NNDM ) had reaffirmed its $18 per share all cash tender offer for Stratasys ( SSYS ) and had asked for a meeting of Stratasys' shareholders for removing the majority of Stratasys' board members and replacing them with those proposed by Nano.

More on More on 3D Systems, Desktop Metal and Nano Dimension

• Desktop Metal: High Ambitions Despite Macroeconomic Pressures
• 3D Systems: Poor Profitability On The Horizon, Hold
• Nano Dimension: Interesting Asymmetric Risk/Reward Scenario

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