3D Systems Confirms Submission of a Superior Proposal to Combine with Stratasys

• Combination Creates Clear Pure-Play Additive Manufacturing Leader with Unmatched Scale and Highly Attractive Financial Profile in Rapidly Scaling Industry
  
• Significant Shareholder Value Creation Fueled by $100 Million of Cost Synergies
• Inclusive of Cost Synergies, Proposal Provides Value of Approximately $25 per Stratasys Share, a 70% Uplift for Stratasys Shareholders
• Proposal Delivers Certain and Immediate Value and Unparalleled Long-Term Upside
  

ROCK HILL, S.C., June 02, 2023 (GLOBE NEWSWIRE) -- Today, 3D Systems (NYSE:DDD) confirmed its submission of a proposal to combine with Stratasys (Nasdaq:SSYS) in a cash and stock merger that would convert each Stratasys share into $7.50 in cash and 1.2507 newly issued shares of 3D Systems common stock.¹ The combination would create an additive manufacturing industry leader, with Stratasys shareholders owning 40% of the combined company and receiving approximately $540 million in cash. 3D Systems delivered this proposal to the Stratasys Board on May 30, 2023.

Based on a set of illustrative assumptions² and assuming approximately $100 million in run-rate cost synergies, the combined company is positioned to deliver at least a total value in excess of $1,840 million to Stratasys shareholders, approximately $740 million in excess of Stratasys’ fully diluted market capitalization using a 60-Day VWAP as of May 24, 2023, the last trading day prior to Stratasys’ announcement of its proposal to acquire Desktop Metal, corresponding to approximately $25 per Stratasys share, or an approximately 70% value uplift.

In addition, these terms imply a nominal initial value per Stratasys share of approximately $19 based on 3D Systems’ 60-Day Volume-Weighted Average Price (VWAP) as of May 24, 2023. This implied nominal value represents a premium of 27% to the Stratasys closing trading price on May 24, 2023, and a premium of approximately 35% to Stratasys’ stock price as of the close of trading on March 9, 2023, the last trading day prior to Nano Dimension’s first public offer to acquire Stratasys.

“The combination of 3D Systems and Stratasys is simply the best outcome for the shareholders of both companies,” said President and CEO, Dr. Jeffrey Graves. “We feel strongly that now is the time for all parties to recognize the overwhelming logic of our two businesses coming together. We are in a unique position to move with confidence and speed and we encourage the Stratasys Board of Directors to engage with our proposal and make this combination a reality for the benefit of the shareholders, employees and customers of both companies.”