Stratasys Inc, a leading manufacturer of 3D printers and production systems for prototyping and manufacturing applications, and privately held Objet Ltd, a leading manufacturer of 3D printers for rapid prototyping, are set to merge.
Under the terms of the agreement, Stratasys will merge with a subsidiary of Objet in an all-stock transaction with a combined equity value of approximately $1.4 billion, based upon the closing price of Stratasys' common stock on April 13, 2012.
The combined company is a leader within the high growth 3D printing and direct digital manufacturing industry.
The combined company, which will retain the Stratasys name and operate under the name Stratasys Ltd, will have dual headquarters in Eden Prairie, Minnesota, USA and Rehovot, Israel, the locations of Stratasys' and Objet's current headquarters, respectively, and will be registered in Israel.
"[The merger] marks a significant milestone for Stratasys and an important development for the 3D printing and direct digital manufacturing industry," said Scott Crump, chief executive officer and chairman of Stratasys. "We are bringing together two of the most innovative and respected players in the field to create a global leader in a high growth industry. Together, we will have a broader and more comprehensive product and technology portfolio, and the resources, team and financial strength to achieve our goals. Building on the success of both companies, I am confident that we will capitalise on the many opportunities this combination creates for our shareholders, channel partners, customers, employees and other important stakeholders. We look forward to completing this transaction and to building significant long-term value for our shareholders."
"We are excited to be joining forces with Stratasys," said David Reis, chief executive officer of Objet. "This transaction creates an organisation that will provide a broad range of rapid prototyping and direct digital manufacturing applications to our customers, and the ability to bring exciting new products to the market. With an impressive technology portfolio, great talent, and an extensive sales and marketing channel, we will be well positioned to achieve efficient growth, expand our distribution reach and create value for all of our stakeholders. We look forward to working with Stratasys employees to take our combined company to the next level."