Stratasys bid to buy Desktop Metal fails, company seeks 'strategic alternatives'
Stratasys’ top management failed to convince investors that its vision of merging its plastics and polymers 3D-printer technologies with rival Desktop Metal’s metal additive manufacturing systems provided the best paths to future profits.
Investors on Sept. 28 rejected that deal, and the company’s board is now exploring “strategic alternatives,” corporate speak for putting the Israel- and Minnesota-based company up for sale. It already has too bidders. Rivals 3D Systems and Nano Dimension had submitted bids to buy Stratasys in recent months, and those two rivals had actively been encouraging investors to vote against the Desktop Metal purchase.
Previous Stratasys-Desktop Metal Coverage
- Stratasys CEO Zeif: Additive Technology's Advances and Long-Term Challenges
- Stratasys Again Rejects 3D Systems, Urges Shareholders to Support Desktop Metal Purchase
- Stratasys CEO Zeif: How Additive Can Scale for Manufacturing
- Stratasys CEO Zeif: Why Now for Additive Manufacturing Mergers
- Stratasys Will "Engage in Discussions" on Acquisition by 3D Systems
- Stratasys Board Again Turns Away 3D, Nano Offers
- Stratasys Stiff-Arms 3D Systems' Bid
- 3D Systems Offers $1.2 Billion for Stratasys
- Understanding the Merger of Stratasys and Desktop Metal
- Stratasys to Buy Desktop Metal for $1.8 Billion
“We have decided to undertake a comprehensive and thorough review of all available strategic alternatives,” said Dov Ofer, chairman of Stratasys’ board of directors.
The rejection of the shareholder vote is a major rebuke of CEO Yoav Zeif’s vision for additive manufacturing’s future, something he spelled out at length in recent interviews with IndustryWeek (a sister brand to Smart Industry) and other publications. Zeif said combining metal and polymer technologies under one company would make 3D printing more attractive to manufacturers worldwide.
