Tue, Sep. 6, 6:55 PM
- GE's $1.4B purchase of a pair of 3D-printer companies sent stocks in the group soaring in today's trade, with 3D Systems (NYSE:DDD) closing +5.5%, Stratasys (NASDAQ:SSYS) +3.7%, Voxeljet (NYSE:VJET) +4.6% and ExOne (NASDAQ:XONE) +5.8%.
- But GE closed 0.7% lower, as analysts say that while 3D printing is promising, GE’s acquisitions are a “net negative” because there are relatively few short-term benefits.
- “This seems like a relatively outsized and expensive bet, with no near-term return, and an incremental opportunity cost when considering the ongoing debate around what we view as finite balance sheet capacity,” says J.P. Morgan's Steve Tusa.
- Cowen analyst Gautam Khanna takes a longer view, saying that “while the deals appear pricey, they help position GE to lead, implement and control additive manufacturing processes that will become important cost-reduction levers long term in Aviation and elsewhere."
- As for the 3-D companies, Citigroup’s Kenneth Wong says that while the GE deal does not present any immediate competition for them, it does not necessarily suggest any buyout implications for the companies since GE is focusing on metal applications.
Jan. 5, 2015, 2:19 PM
- Continuing its heady acquisition spree, 3D Systems (NYSE:DDD) has acquired botObjects, a U.K.-based startup that has developed what it claims is "the first full-color 3D desktop printer for home and business." Terms are undisclosed, but 3D expects the deal to be accretive in 2015.
- 3D has added botObjects' printer to its Cube consumer/enthusiast printer line - it's now known as the CubePro C - and plans to sell it at $4,990. botObjects asserts its printer is differentiated through a "proprietary 5-color PLA cartridge system" that works much like normal inkjet printing systems, as well as a dual-extruder head and proprietary self-calibration software.
- The purchase is aimed at Stratasys (SSYS -4.9%) MakerBot unit, whose Replicator printer line has (from all indications) handily outperformed 3D's Cube line in the consumer/enthusiast space. MakerBot's 5th-gen Replicator is priced at $2,899; the Replicator Mini goes for $1,375, and the larger Replicator Z18 for $6,499. MakerBot's sales were up 80% Y/Y in Q3.
- As one would expect, the CubePro C will be shown off at CES (runs from Tuesday-Friday). Also being shown off: A new stylus for 3D sculpting/design and gaming that supports haptic feedback, and related virtual sculpting software (Cubify Sculpt). The package goes for $599.
- 3D and Stratasys are selling off hard on a rough day for equities.
Sep. 23, 2014, 2:58 PM
- Stratasys (SSYS +0.5%) has closed the acquisition of GrabCAD, a provider of cloud-based software for collaborating on CAD projects (inc. ones involving 3D printing) and the owner of a popular file-sharing/community site for CAD engineers.
- Terms for the all-cash deal are undisclosed. Costs related to it are expected to have a $0.03-$0.05 impact on Q4 EPS.
- Stratasys predicts GrabCAD will help it "provide its customers with enhanced collaboration tools and improved accessibility relating to 3D CAD content." The company's MakerBot unit already operates a popular file-sharing site (Thingiverse) for 3D printing enthusiasts. 3D Systems bought GrabCAD rival TeamPlatform last year.
- Also: Stratasys and UPS have expanded their existing alliance: UPS plans to offer 3D printing services using Stratasys' uPrint SE Plus desktop printer at nearly 100 U.S. stores. A pilot program involving 6 stores was launched last year.
Apr. 4, 2014, 9:32 AM
- Stratasys (SSYS) is acquiring Interfacial Solutions, a provider of thermoplastics R&D/production services. Deal terms are undisclosed.
- Stratasys notes Interfacial has been "instrumental" to its thermoplastic material R&D, and also makes some of it. CEO David Reis states Interfacial gives Stratasys "significant expertise in plastics and filament," and expects it to accelerate the company's materials development for its mainstay fused deposition modeling (FDM) printing platforms, including MakerBot.
- Two days ago, Stratasys announced it's buying 3D printing service bureaus Solid Concepts and Harvest Technologies.
Apr. 2, 2014, 1:17 PM
- Stratasys (SSYS -0.3%) is buying Solid Concepts, the biggest additive manufacturing service bureau in North America, for $295M in cash ($172M up-front). The company is also acquiring Harvest Technologies, an additive manufacturing services firm with 80 employees, for an undisclosed sum.
- Stratasys notes Solid Concepts is already a partner for the company's RedEye printing service business. The company has six U.S. facilities and 450 employees, and produced 2013 revenue of $65M.
- The deals are expected to be accretive to Stratasys' EPS within the first 12 months of closing. Rival 3D Systems has already bought a number of 3D printing services firms.
- Stratasys' services revenue rose 96% Y/Y in 2013 to $69.6M, and equaled 14% of total revenue.
Nov. 5, 2013, 10:43 AM
- Rumors IBM is interested in buying 3D Systems (DDD +6.2%) for $90/share (a 28% premium to current levels) are helping the 3D printer vendor surge to new highs. Rivals Stratasys (SSYS +3.9% - also making new highs) and ExOne (XONE +5.5%) are also up strongly.
- Heavy short interests (I, II, III) are probably adding fuel to the fire.
Jun. 20, 2013, 7:10 PM
Like many of Stratasys' (SSYS) 3D printers, MakerBot's Replicator line uses a fused deposition modeling (FDM) printing process. In a talk with Seeking Alpha, Stratasys investor relations VP Shane Glenn mentioned there are opportunities for MakerBot to leverage Stratasys' considerable FDM IP. Glenn also suggested there could be synergies with MakerBot's Thingiverse.com portal, which offer 90K+ 3D product files for download, and said the startup has "healthy margins" (though no specifics were given). During a CC to discuss the acquisition (transcript), execs mentioned MakerBot's clients include GE, NASA, and Lockheed Martin, and that 40% of its customers are international. (previous: I, II)| Jun. 20, 2013, 7:10 PM
Jun. 19, 2013, 4:41 PM
Stratasys (SSYS) is acquiring desktop 3D printing upstart MakerBot in an all-stock deal that has an initial value of $403M (based on Stratasys' Wednesday close), but which could reach $604M via performance incentives. MakerBot, which has sold 22K+ printers since '09 (11K Replicator 2 units in the last 9 months) and had Q1 revenue of $11.5M, will operate as an independent unit. The deal is expected to be slightly dilutive to 2013 EPS, and accretive by the end of 2014. The companies estimate 35K-40K desktop 3D printers were sold in 2012, and see the market doubling this year. CC at 7AM ET tomorrow (webcast). SSYS +1.7% AH. (previous)| Jun. 19, 2013, 4:41 PM | 2 Comments
Jun. 9, 2013, 2:29 PM
Stratasys (SSYS) is in buyout talks with hot 3D printing startup MakerBot, TechCrunch reports. The WSJ recently reported MakerBot was talking with suitors following VC funding talks involving a $300M valuation, but didn't give names. Buying MakerBot, whose innovative Replicator line of easy-to-use desktop 3D printers goes for $2K-$2.8K, would allow Stratasys (mostly focused on large businesses) to take on 3D Systems' (DDD) Cube line in the burgeoning enthusiast/small business space. MakerBot recently added the Digitizer, a desktop 3D scanner said to require no CAD software/3D modeling experience, to its product line.| Jun. 9, 2013, 2:29 PM | 2 Comments
Jun. 6, 2013, 2:23 PMA positive WSJ column about the 3D printing industry's potential could be helping printer makers (DDD, SSYS, XONE) rally. The paper notes GE's aviation unit prints fuel injectors and other combustion system components, Mattel uses 30 3D printers to prototype its toys, and Ford both prints auto part prototypes and "sees a future where customers will be able to print their own replacement parts." Also: the WSJ reports fast-growing 3D printer startup MakerBot is in buyout talks, and that recent VC funding talks valued the company at $300M. 3D Systems is fresh off raising $237M many think will be directed towards M&A. (ExOne coverage launch) | Jun. 6, 2013, 2:23 PM | 9 Comments
Sep. 14, 2012, 6:11 PM
Stratasys (SSYS) says its stockholders voted overwhelmingly to approve the proposed merger with Objet at a special meeting held on Friday. More than 99% of the shares voting were in favor of the adoption of the all-stock merger agreement.| Sep. 14, 2012, 6:11 PM | 1 Comment
Apr. 16, 2012, 7:02 AM
Stratasys (SSYS) agrees to merge with privately-held Object in an all-stock transaction with a combined equity value of 1.4B. The combined 3D printer company plans to operate under the Stratasys name and have dual headquarters in Israel and Minnesota.| Apr. 16, 2012, 7:02 AM | 3 Comments