3D Systems (NYSE:DDD) announced it has signed an agreement to sell its On Demand Manufacturing business to Trilantic North America, a leading, growth-focused middle-market private equity firm, for a purchase price of $82 million, subject to certain closing conditions and adjustments. The sale includes the company’s On Demand Manufacturing experts and facilities in Lawrenceburg, Tennessee; Seattle, Washington; Le Mans, France; Pinerolo, Italy; and High Wycombe, England.
3D Systems’ On Demand Manufacturing business, which will be rebranded under Trilantic North America’s ownership as Quickparts, offers a variety of advanced and rapid manufacturing services, including additive and subtractive capabilities. As with the divestitures announced earlier this year, by taking this action 3D Systems can more effectively focus on its strategic purpose as the leader in enabling additive manufacturing solutions for applications in growing markets that demand high-reliability products. 3D Systems will continue its collaboration with Quickparts after the sale closes to support shared customers.
Commenting on the sale, 3D Systems’ President and CEO, Dr. Jeffrey Graves said, “We are continuing to aggressively execute our four-phase plan that we announced a year ago, to position the company for exciting growth and profitability as the market for industrial-scale additive manufacturing continues to expand. The On Demand Manufacturing business, with its focus on the rapid production of components using a multitude of digital manufacturing methods, is a solid business that has a very bright future under the stewardship of Trilantic North America. Our sole reason for divestiture is to enable our entire focus and investment priorities to be on additive manufacturing (AM), where we play a unique leadership role in enabling industrial-scale AM adoption across a range of exciting end markets. We will continue to collaborate with the Quickparts business as it relates to additive manufacturing and are confident that, with the focus this brings to both organizations, the future will be bright for all stakeholders. With a very strong balance sheet and cash position, proceeds from the sale will be used to further accelerate our investments for growth in our core additive manufacturing capabilities, for which we are seeing rapidly rising demand in new, extraordinary applications ranging from the human body to electric vehicles and space travel.”
3D Systems announced earlier this month that the company is investing in a 50,000 square foot expansion of its presence in Littleton, Colorado to expand its healthcare and industrial application development and advanced production capabilities. Through this infrastructure investment, the company will add expertise and the most advanced metal additive manufacturing technologies to address new, more complex industrial applications such as those for aerospace, automotive, semiconductor, and energy.
The enhancements to the Littleton site will complement the work being done at 3D Systems’ other application development and advanced manufacturing sites in Rock Hill, South Carolina; Moerfelden, Germany; Budel, Netherlands; and Leuven, Belgium. The company recently added metal 3D printing technology to its site in Leuven in support of the work its application development and advanced manufacturing teams do for the semiconductor capital equipment, aerospace, defense, and automotive industries. Additionally, 3D Systems plans to add both plastics and metals technologies to its Rock Hill, South Carolina location, including the recently announced Roadrunner™ High Speed Fusion 3D printing system.
3D Systems expects completion of the On Demand Manufacturing transaction to occur in the third quarter of 2021.