Desktop Metal Completes Landmark ExOne Acquisition: Unifying Binder Jetting for Mass Production in Additive Manufacturing

In a move that significantly reshapes the landscape of industrial additive manufacturing, Desktop Metal, a leading innovator in metal and carbon fiber 3D printing solutions, has officially announced the successful acquisition of The ExOne Company. This landmark transaction, initially unveiled over the summer, reached its final completion this week following overwhelming approval from the majority of ExOne’s shareholders. The strategic integration of ExOne’s complementary binder jetting systems is poised to solidify Desktop Metal’s dominant position in additive manufacturing (AM) for mass production, propelling the industry towards greater adoption of industrial-scale 3D printing.

The announcement of this deal in August sent ripples of surprise and excitement across the entire additive manufacturing sector. Desktop Metal’s trajectory has been nothing short of meteoric since its inception as a startup just a few years ago. The company has aggressively pursued a growth strategy through strategic acquisitions, notably including EnvisionTEC, a pioneer in photopolymer 3D printing. However, the acquisition of ExOne stands out as one of its most significant to date, given ExOne’s long-standing leadership and expertise in binder jetting technology. While not always direct competitors in every market segment, ExOne has consistently been at the forefront of binder jetting for decades. The company famously secured the exclusive license to this groundbreaking method in 1996, a technology originally developed by visionary researchers at the Massachusetts Institute of Technology (MIT), a group that notably included one of Desktop Metal’s co-founders. This historical connection adds another layer of strategic depth to the acquisition, bringing the foundational intellectual property under a unified roof dedicated to advancing the technology.

ExOne is renowned for its advanced binder jetting solutions, a technology also utilized extensively by Desktop Metal. (Photo Credits: ExOne)

The consolidation of these two industry titans, who were once considered rivals in the additive manufacturing space, marks a truly pivotal moment. Ric Fulop, Founder and CEO of Desktop Metal, underscored the immense importance of this acquisition, not just for his company, but for the broader evolution of additive manufacturing. He articulated his vision, stating, “This acquisition is a landmark moment for the additive manufacturing industry and creates an unmatched portfolio that strengthens Desktop Metal’s ability to accelerate the adoption of AM 2.0. We are proud to welcome ExOne’s talented team to Desktop Metal and to move forward as one company focused on the mass production of end-use parts through AM.” This statement highlights Desktop Metal’s ambitious goal to transition additive manufacturing from primarily prototyping and niche applications to a robust, scalable solution for the high-volume production of complex, functional end-use parts. AM 2.0 represents this shift towards industrialization, focusing on speed, cost-effectiveness, repeatability, and material versatility – all areas where combined binder jetting expertise will play a crucial role.

For existing owners of ExOne machines and customers, concerns about immediate operational changes are largely unfounded. Desktop Metal has made clear assurances that the integration will be seamless and supportive. While the financial mechanics of the acquisition have seen ExOne shareholders receive a substantial consideration of $8.50 in cash and $16.43 in shares of Desktop Metal common stock for each share of ExOne common stock, culminating in a total transaction value of approximately $561.3 million USD, the operational structure is designed for continuity. Furthermore, the delisting of ExOne’s common stock from public trading was scheduled to become effective by 5:30 pm EST on the day of completion. Importantly, ExOne will continue to operate as a wholly-owned subsidiary of Desktop Metal, retaining its distinct brand identity and maintaining its headquarters in North Huntingdon, Pennsylvania. This strategic decision aims to preserve ExOne’s deep-rooted expertise, its established customer relationships, and its operational infrastructure. In a comprehensive press release, Desktop Metal explicitly reaffirmed its unwavering commitment to supporting all existing ExOne customers, ensuring continuity of service, parts, and technical assistance. Moreover, the combined entity pledges to continue promoting broader access to AM 2.0 solutions, leveraging the strengths and innovations from both companies to deliver an unparalleled portfolio of additive manufacturing technologies to the global market.

The integration of ExOne’s binder jetting expertise with Desktop Metal’s broad portfolio promises significant advancements for industrial 3D printing. (Photo Credits: ExOne)

The combined forces of Desktop Metal and ExOne represent a powerful convergence of vision and technological prowess. John Hartner, CEO of ExOne, eloquently summarized the collaborative spirit and future aspirations, stating, “We are excited to join forces with Desktop Metal to deliver a more sustainable future through our shared vision of additive manufacturing at high production volumes. We believe our complementary platforms will better serve customers, accelerate adoption of green technologies, and drive increased shareholder value. Most importantly, our technologies will help drive important innovations at meaningful production volumes that can improve the world.” This statement underscores a shared commitment to not only technological advancement but also to environmental stewardship, promoting sustainable manufacturing practices through high-volume, efficient additive processes. The combined entity is expected to significantly accelerate the development of new materials, expand the capabilities of binder jetting across various industries, and enhance the overall accessibility of industrial 3D printing solutions. Customers can anticipate a more comprehensive product offering, bolstered R&D efforts, and an expanded support network, all contributing to a more robust and responsive ecosystem for additive manufacturing. This acquisition solidifies binder jetting as a cornerstone technology for the future of manufacturing, promising faster, more cost-effective, and environmentally friendly production of complex components across diverse sectors, from automotive and aerospace to medical and consumer goods. Further details regarding the acquisition and its implications can be found in the official press release HERE.

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