Stratasys Completes Acquisition of Origin, Accelerating Expansion Into Mass Production Additive Manufacturing
Stratasys Ltd. (NASDAQ: SSYS) has completed the acquisition of Origin as of Dec. 31, 2020. This acquisition enhances Stratasys' capabilities in additive manufacturing, focusing on software-driven polymer applications. CEO Yoav Zeif emphasized that this strategic move is expected to unlock new market opportunities and contribute to significant growth starting in 2021. The acquisition may slightly dilute non-GAAP earnings per share in 2021 but is projected to become accretive by 2023. Origin’s technology is noted for its precision and material development.
- Acquisition expected to generate incremental revenue and expand market opportunities.
- Origin's technology enhances Stratasys' product offerings and manufacturing capabilities.
- Projected growth in non-GAAP earnings per share by 2023.
- Acquisition expected to slightly dilute non-GAAP earnings per share in 2021.
Stratasys Ltd. (NASDAQ: SSYS) announced today it has completed the acquisition of Origin, effective as of Dec. 31, 2020. The acquisition adds Origin’s software-centric additive manufacturing solution that offers best-in-class printing technology based on digital light processing for production-oriented polymer applications.
“The completion of this acquisition marks an important milestone for Stratasys, positioning us to generate meaningful incremental revenue from a wide range of new market opportunities for mass production,” said Stratasys CEO Yoav Zeif. “I’m confident that Origin’s innovative solutions will be a key contributor to strong company growth beginning in 2021 and help us further realize our strategic goal to fortify our leadership position as the ‘first choice’ for polymer 3D printing.”
As previously indicated on December 9, 2020, the impact of the acquisition on Stratasys’ diluted non-GAAP earnings per share is expected to accelerate the company’s growth rate and be slightly dilutive to non-GAAP earnings per share in 2021, and accretive to non-GAAP earnings per share by 2023.
Based in San Francisco, Origin is pioneering a new approach to additive manufacturing of end-use parts. Origin One, the company’s manufacturing-grade 3D printer, uses Programmable PhotoPolymerization to precisely control light, heat, and force, among other variables, to produce parts with exceptional accuracy and consistency. The company works with a network of partners to develop a wide range of commercial-grade materials for its system, resulting in some of the toughest and most resilient materials in additive manufacturing. The company was founded in 2015 and is led by alumni from Google and Apple. Investors include Floodgate, DCM, Mandra Capital, Haystack, TDK Ventures, Stanford University, and Joe Montana. Learn more at www.origin.io.
Stratasys is a global leader in additive manufacturing or 3D printing technology and is the manufacturer of FDM®, PolyJet Technology™, and stereolithography 3D printers. The company’s technologies are used to create prototypes, manufacturing tools, and production parts for industries including aerospace, automotive, healthcare, consumer products and education. For more than 30 years, Stratasys products have helped manufacturers reduce product-development time, cost, and time-to-market, as well as reduce or eliminate tooling costs and improve product quality. The Stratasys 3D printing ecosystem of solutions and expertise includes 3D printers, materials, software, expert services, and on-demand parts production.
To learn more about Stratasys, visit www.stratasys.com, the Stratasys blog, Twitter, LinkedIn, or Facebook. Stratasys reserves the right to utilize any of the foregoing social media platforms, including the company’s websites, to share material, non-public information pursuant to the SEC’s Regulation FD. To the extent necessary and mandated by applicable law, Stratasys will also include such information in its public disclosure filings.
Stratasys, FDM, and PolyJet Technology are trademarks of Stratasys Ltd. and/or its affiliates. Origin is a registered trademark of Origin. All other trademarks are the property of their respective owners, and Stratasys assumes no responsibility with regard to the selection, performance, or use of these non-Stratasys products.
Cautionary Statement Regarding Forward-Looking Statements
The information contained in this press release may include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are often characterized by the use of forward-looking terminology such as “may,” “will,” “expect,” “anticipate,” “estimate,” “continue,” “believe,” “should,” “intend,” “project” or other similar words, but may be identified in other ways as well. These forward-looking statements may include, but are not limited to, statements relating to the anticipated completion of the acquisition of Origin by Stratasys, Stratasys’ objectives, plans and strategies with respect to Origin following its acquisition, statements that contain projections of results of operations or of financial condition with respect to Origin and Stratasys after the acquisition, and all statements (other than statements of historical fact) that address activities, events or developments that Stratasys intends, expects, projects, believes or anticipates will or may occur in the future. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties. Stratasys has based these forward-looking statements on assumptions and assessments made by its management and, in certain cases, by Origin’s management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Important factors that could cause actual results, developments and business decisions to differ materially from those anticipated in these forward-looking statements include, among other things: any potential obstacles to closing the acquisition of Origin; the degree of success of Stratasys in efficiently and successfully integrating the operations of Origin into Stratasys after the acquisition; the general economic environment and the economic environment for 3D printing and Stratasys’ customers in particular; the impact of competition and new technologies; general market, political and economic conditions in the countries in which Stratasys operates, particularly in respect of the ongoing COVID-19 pandemic; government regulations and approvals; changes in customers’ budgeting priorities; litigation and regulatory proceedings; and those factors referred to under “Risk Factors”, “Information on the Company”, “Operating and Financial Review and Prospects”, and generally in Stratasys’ annual report on Form 20-F for the year ended December 31, 2019 filed with the U.S. Securities and Exchange Commission, or SEC, on February 26, 2020, and in other reports that Stratasys furnishes to or files with the SEC from time to time, including, most recently, the report of foreign private issuer on Form 6-K reporting Stratasys’ results for the quarter and nine months ended September 30, 2020, furnished to the SEC on November 12, 2020. Readers are urged to carefully review and consider the various disclosures made in Stratasys’ SEC reports, which are designed to advise interested parties of the risks and factors that may affect its business, financial condition, results of operations and prospects. Any forward-looking statements in this press release are made as of the date hereof, and Stratasys undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
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