Tag Archives: acquisition
3D Systems Continues Acquisition Trail with 3D Printing Startup The Sugar Lab
“The overlap of technology, food and art is so rich, and the potential for customization and innovation is limitless,” said Liz von Hasseln
Just days after we posted a deep analysis on 3D Systems and their M&A activity, the 3D printing giant acquired another company: The Sugar Lab.
The Sugar Lab is a start-up micro-design firm based in Los Angeles, California, dedicated to 3D printing customized, multi-dimensional, edible confections in real sugar. The Sugar Lab adopted 3D Systems’ Color Jet Printing (CJP) technology to print on a sugar bed using different flavored edible binders that meet all food safety requirements.
The terms of the transaction were not disclosed.
3D Systems plans to immediately integrate The Sugar Lab 3D printing technique into its professional and consumer content-to-print platforms with a variety of production-quality applications as well as the ability to 3D print indulgences at home.
“The overlap of technology, food and art is so rich, and the potential for customization and innovation is limitless,” said Liz von Hasseln, cofounder of the Sugar Lab. Existing commercial applications for printable sugar include complex sculptural cakes for weddings and special events that are made possible only with 3D printing, and customizable confections for bake shops and restaurants. Continued von Hasseln, “We see our technology quickly evolving into a variety of flavors and foods, powered by real food printers for professionals and consumers alike and we could not think of a more qualified partner than 3D Systems to help make that a reality.”
“I believe there is a social covenant for indulgence that begins with desserts and The Sugar Lab will accelerate our ability to bring edible 3D printables to the masses while empowering chefs, restaurateurs and confectioners with never before explored digital creation tools for food,” said Avi Reichental, President and CEO of 3D Systems. “We are absolutely thrilled to partner with two kindred spirits; Liz and Kyle von Hasseln to quickly re-purpose our core 3D Systems print technology and jointly create delicious, custom confections.”
Below is a gallery of the sweet sugar 3D printed creations by The Sugar Lab:
Related stories about 3D printing in sugar:
Stratasys and MakerBot Complete Merger
Stratasys, Ltd. (NASDAQ: SSYS) and MakerBot announced the completion of their $403 million merger first announced on June 19th.
Stratasys is a pioneer in 3D printing for prototyping and production, and for more than 25 years has enabled designers and engineers to bring their ideas to life. MakerBot, founded in 2009, helped develop the desktop 3D printing market and has built the largest installed base of 3D printers in the category by making 3D printers highly accessible. MakerBot has sold more than 22,000 3D printers since 2009.
“Stratasys and MakerBot share a vision about the potential for 3D printing to transform design and manufacturing,” said David Reis, Stratasys CEO. “Our goal now is to maximize the benefits this merger creates for our shareholders, our customers and our employees.”
Bre Pettis, CEO of MakerBot added, “We are excited for the future – full speed ahead!”
Transaction Information
Consistent with the terms of the merger, Stratasys will issue up to 4.7 million of its shares in exchange for 100% of the outstanding capital stock of MakerBot. MakerBot stakeholders also qualify for performance-based earn-outs that provide for the issue of up to an additional 2.36 million shares through the end of 2014. Those earn-outs, if earned, will be made in Stratasys shares or cash (in an amount reflecting the value of the Stratasys shares that would have otherwise been issued at the relevant earn-out determination date), or a combination thereof, at Stratasys’ discretion.
Read more at MarketPitch.
Top 3D Printing News Last Week: MakerBot Acquired, Modibot Kickstarter
3D Printing News
A roundup of the top 3D printing news from June 17 to June 23:
Tuesday, June 18
Wednesday, June 19
Saturday, June 22
Sunday, June 23
Full Analysis of the Stratasys and MakerBot 3D Printing Acquisition
Full Analysis of Stratasys and MakerBot Deal
On June 19, desktop 3D printer company MakerBot was acquired by Stratasys for $403 million. The next day, executives from Stratasys and MakerBot hosted a conference call with analysts to discuss the transaction. Seeking Alpha published a full transcript of the call and we provide our analysis on the deal below.
Executives on the call included:
- Shane Glenn – VP Investor Relations
- S. Scott Crump – Chairman of the Board
- David Reis – Chief Executive Officer
- Bre Pettis – CEO and Co-Founder of MakerBot
- Erez Simha – Chief Operations Officer, Israel and Chief Financial Officer
Stratasys Definitive Move into Desktop 3D Printer Market
Stratasys has long been a leader in the additive manufacturing industry. In December they completed a merger with Israel-based Objet to create a $3 billion 3D printer company. Now, with the addition of MakerBot, Stratasys is definitively embracing the desktop 3D printer market.
The executives commented that desktop 3D printing is the next industrial revolution.
It has been widely reported that MakerBot has major customers in organization like GE, NASA and Lockheed Martin, and continue to sell its desktop 3D printers to other Major Fortune 500 companies as well as small entrepreneurial startups and individuals.
Desktop 3D printing usage among design and engineering professional is growing rapidly. Stratasys and MakerBot estimate that between 35,000 to 40,000 desktop 3D printers were sold in 2012. This number is estimated to double in 2013, as consumers increasingly adopt desktop 3D printers for broad range of applications.
In acquiring MakerBot, Stratasys has expanded its scope, selling 3D printers priced from $2,000 to more than $600,000 for all purposes. The MakerBot products allow for more accessibility and affordability of 3D printers that will enable more rapid growth.
MakerBot Company Profile
MakerBot, headquartered in Brooklyn, is the market leader in desktop 3D printing, selling more than 22,000 3D printers since 2009. The company has 274 employees.
MakerBot generated revenues of $15.7 million in 2012, and grew rapidly to $11.5 million in Q1 2013. The company sells two 3D printers: the MakerBot Replicator 2 Desktop 3D Printer, and the MakerBot Replicator 2X Experimental 3D Printer. Retail prices range from $2,200 to $2,800. The majority of sales are placed on the MakerBot website. 60% of customers are based in North America, and 40% international.
The 3D printers are assembled in Brooklyn at a 55,000 square foot production facility in the Sunset Park neighborhood.
MakerBot hosts a web community called Thingiverse, where users can upload 3D printable files. There are more than 90,000 3D product files online and the site has more than 500,000 unique visitors and 1 million downloads each month.
Bre Pettis’ View
MakerBot CEO shared his perspective on the deal:
Our company shares a vision about how to lead the market’s growth and development and it’s all about creating a great user experience. We are very proud of what we have built at MakerBot, but we’ve only just begun. That’s why we are so attracted by the opportunity to join with Stratasys.
Our mission remains the same. Merging with Stratasys offers us an opportunity to continue to build our business and pursue our vision under the MakerBot brand. The last couple of years have been incredibly inspiring and exciting for us. We have an aggressive model for growth. Partnering with Stratasys will allow us to supercharge that mission to empower individuals to make things using a MakerBot and allow us to bring 3D technology to more people.
Deal Structure
Stratasys will issue 4.76 million shares of its stock, worth $403 million, in exchange for 100% of the outstanding capital stock of MakerBot.
In addition, MakerBot stakeholders will also be eligible for performance-based earn-outs of up $201 million through the end of 2014.
Read the full transcript at Seeking Alpha.
MakerBot Acquired by Stratasys for $403 Million
3D Printing Company MakerBot Acquired by Stratasys
MakerBot CEO Bre Pettis has reason to be smiling. His firm was just acquired for $403 million by Stratasys.
According to a report from the Wall Street Journal, privately-held MakerBot will trade its stock for new stock issue of publicly-traded Stratasys in a transaction that expands the growth of the desktop 3D printer market.
The Wall Street Journal also released details about MakerBot’s sales of 3D printers.
MakerBot has sold more than 22,000 3D printers since it was founded in 2009 and in the recent first quarter it generated total revenue of $11.5 million. The company’s products are increasingly used by so-called prosumers, including engineers, designers, architects, manufacturers who buy high-tech products or equipment, and consumers for personal applications.
This is Stratasys’ second large deal in the last year. In December, Stratasys merged with Objet to create a $3 billion juggernaut.
We’ve reached out to MakerBot for comment.
