Stratasys has announced that it has terminated the merger agreement with Desktop Metal after its shareholders did not approve the deal in the September 28, 2023, Extraordinary General Meeting of Shareholders (EGM). The Stratasys Board of Directors says that, based on its preliminary count of the votes cast at the EGM, it has now initiated a process to explore strategic alternatives for the company.
Stratasys and Desktop Metal announced on May 25, 2023, that they had entered into a merger agreement to create a 1.8 billion USD 3D printing company. The final, certified voting results for the Stratasys EGM will be provided in a Form 6-K to be furnished to the U.S. Securities and Exchange Commission (SEC), which the company expects to occur within four business days. It has been reported by numerous outlets, however, that 78.6% of Stratasys shareholders voted against the deal. Stratasys says that the process to maximize shareholder value will begin immediately. The company says that potential strategic alternatives to be explored or evaluated may include, but are not limited to, a strategic transaction, potential merger, business combination or sale.
“We have decided to undertake a comprehensive and thorough review of all available strategic alternatives,” said Dov Ofer, Chairman of Stratasys’ Board of Directors. “We are entering this review as the leader in the additive manufacturing space and will continue to execute our strategy, powered by innovation and profitable growth, which has led Stratasys to outpace the competition. Importantly, we remain focused on our mission to deliver value to customers and are committed to taking the appropriate actions to maximize value for all Stratasys shareholders.”
The company says that there is no assurance that the strategic review process will result in any transaction or other strategic outcome. Stratasys says it does not intend to disclose further developments on its strategic review process unless and until it determines that such disclosure is appropriate or necessary.