Desktop Metal shareholders have approved Nano Dimension’s proposed acquisition of the company.
The vote was held at a special meeting of Desktop Metal shareholders, with 96% of the total shares participating in the vote being cast in favour of the acquisition. Of approximately 33 million outstanding shares, 60% were in favour of the deal being completed.
This vote was a critical requirement in the process of closing the transaction, with the waiting period under the United States Department of Justice (DOJ) Hart-Scott-Rodino Antitrust Improvements Act of 1976 expiring back in August. The acquisition is now expected to close in the fourth quarter of 2024 subject to some final regulatory approvals.
Desktop Metal’s proposed merger with Stratasys failed at this hurdle last year, with Stratasys shareholders voting against the proposed business combination. However, since Nano Dimension is offering to acquire Desktop Metal with cash, and Desktop Metal has a ‘concentrated shareholder base’ with 31.8% of the company’s shares owned by company insiders, there has always been confidence that Nano would receive the approvals needed from Desktop stockholders. With shareholder approval now confirmed, Desktop Metal is finally set to come under new ownership before the end of the year.
Desktop Metal founder and CEO Ric Fulop said: “We are pleased that our stockholders, who have supported Desktop Metal over the years, are accepting the recommendation of our board of directors. This industry needs the combination of great products and technologies with a strong balance sheet to become self-sustaining. The agreement to combine with Nano Dimension is the best offer for stockholders to realize value from their current holdings in Desktop Metal. We appreciate the support of our stockholders.”
Yoav Stern, Nano Dimension’s Chief Executive Officer and member of the Board of Directors, added: “We are another step closer to closing the acquisition of Desktop Metal and building a strong, new leader in the digital manufacturing space. Now, Nano Dimension will stay focused on obtaining the necessary regulatory approvals and finalizing post-merger integration plans which will enable us to close this deal and move the new business forward as soon as possible.”
The backing of Desktop Metal’s shareholders comes just days after Nano Dimension agreed a deal to acquire Markforged, with their shareholders set to vote on that business combination between now and Q1 of 2025. Stern, along with Markforged CEO Shai Terem, spoke to TCT earlier this week to detail why the acquisition makes sense for both companies, and what impact it may have on the rest of the additive manufacturing market.
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