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Update at 10:50 am on December 24: Add a comment from Stratasys.
Nanodimensions (NASDAQ:NNDM) submitted an all-cash proposal to buy rival 3D printer maker Stratasys (NASDAQ:SSYS) for $16.50 per share.
The preliminary proposal was made for the rest of Stratasys (SSYS) shares that Nano Dimension (NNDM) is no longer owned and may increase subject to due diligence, according to a statement on Saturday. The offer represents a 26% premium to Stratasys' closing price on Friday.
Stratasys (SSYS) confirmed on Sunday that it received the preliminary proposal from Nano Dimension (NNDM), according to a statement.
“As previously announced on September 28, 2023, the Stratasys Board of Directors, in consultation with its independent financial and legal advisors, initiated a process to explore strategic alternatives for the Company,” Staratasys said in the statement. “The Stratasys Board will carefully review and consider Nano's unsolicited preliminary proposal as part of this process. The Stratasys Board will carefully review and consider Nano's unsolicited preliminary proposal as part of this process.”
Nano Dimension (NNDM) is the largest shareholder in Stratrasys (SSYS) with a 14% stake. The latest offer comes after Nano Dimension withdrew a partial tender offer of $25 per share for Stratasys following several rejections by the 3D printer maker in late July. At that time, Nano Dimension also withdrew its director candidates for the Stratasys board.
In addition to funding the proposal with cash on hand, Nano Dimension has entered into discussions with financing sources to support any transaction and there is no financial contingency for the proposal, the statement said.
Stratasys (SSYS) in April rejected a revised $20.05 per share offer from Nano Dimension (NNDM), saying the proposal continues to “substantially undervalue” the company.
Nano Dimension (NNDM) has a market capitalization of $564 million, while Stratasys (SSYS) is valued at $908 million.
Stratasys adopted a limited shareholder rights plan Thursday, as the 3D printer company's current plan is set to expire at the end of the year. Stratasys (SSYS) originally adopted a poison pill in July 2022, days after Nano Dimension (NNDM) revealed it had acquired a stake in the company.
Stratasys (SSYS) in late September that it would begin a strategic review of alternatives after a deal to buy 3D printer maker Desktop Metal (DM) was terminated.
The termination of the deal with Desktop Metal (DM) came after 3D Systems (DDD) in September submitted a binding offer for Stratasys (SSYS) after the 3D printer maker rejected previous bids. 3D Systems (DDD) said at the time that it had valued Stratasys' (SSYS) offer at more than $27 per share.
JPMorgan is serving as exclusive financial advisor to Stratasys (SSYS), and Meitar Law Offices and Wachtell, Lipton, Rosen & Katz are serving as legal advisors.
