The board of directors of 3D printer manufacturer Stratasys has unanimously rejected an acquisition proposal by 3D Systems and reaffirmed its support for a previously announced merger with Desktop Metal.
The Stratasys board determined that the revised proposal from 3D Systems significantly undervalued Stratasys and did not constitute a “superior proposal” as defined in the merger agreement with Desktop Metal.
It also cited “several significant risks” including concern about 3D Systems’ short- to medium-term growth prospects, especially in its dental aligners market; structural challenges to profitability; and low net synergy potential.
Stratasys Ltd. is based in Eden Prairie, Minn.; 3D Systems Corp. in Rock Hill, S.C.
