Markforged to Acquire Digital Metal, Expand Into Volume Part ProductionJuly 13, 2022
Markforged announced that it has entered into a definitive agreement with Höganäs AB to acquire binder jetting technology developer Digital Metal. The acquisition is expected to propel Markforged, creator of the Digital Forge integrated metal and carbon fiber additive manufacturing (AM) platform, into high-throughput production of metal-AM parts, according to Markforged officials.
In pursuing the acquisition, Markforged sees powder binder jetting as a highly scalable AM technology for production-grade parts using a variety of metal materials, and Digital Metal’s offerings as able to provide high precision and part quality, as well as reliability.
“With the Digital Metal acquisition, Markforged is advancing our vision for distributed manufacturing by enabling the reliable, high-volume production of precise metal parts at the point of need,” says Shai Terem, president and CEO of Markforged. “Infusing Digital Metal’s solution into The Digital Forge platform allows us to address new applications in the medical, automotive, luxury goods and other industries. The Digital Metal team has created a robust and scalable solution that complements our existing technologies.”
Founded in 2003, Digital Metal is a wholly-owned subsidiary of Höganäs AB and the creator of a proprietary binder jetting AM technology.
“With Markforged’s experience and go-to-market scale, we are confident that we will be able to grow our technology together and help more manufacturers produce the high-volume metal parts they need to drive highly productive and cost-efficient operations,” says Christian Lönne, CEO of Digital Metal.
As part of the transaction, Markforged will pay Höganäs approximately $32 million in cash, approximately 4.1 million shares of Markforged common stock and approximately $1.5 million in cash to settle certain intercompany balances, subject to certain adjustments. The acquisition of Digital Metal is expected to close during this year’s third quarter.
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