Markforged Transforms Manufacturing with Landmark SPAC Merger and NYSE Listing

In a significant move poised to reshape the landscape of industrial additive manufacturing, Markforged, a pioneer in integrated metal and carbon fiber 3D printing solutions, has announced a definitive agreement to merge with one, a special purpose acquisition company (SPAC) led by technology industry veteran Kevin Hartz. This strategic merger is set to propel the combined entity onto the New York Stock Exchange (NYSE), operating under the established and recognized Markforged brand. The announcement underscores the dynamic momentum sweeping through the 3D printing sector, which has witnessed a flurry of acquisitions, mergers, and public listings since the beginning of 2021, affirming its burgeoning status as a critical industry for the future of manufacturing.

Markforged has long been a formidable presence in the global 3D printing arena, celebrated for its innovative “Digital Forge” platform. This integrated system empowers manufacturers to produce robust, high-performance parts from a wide array of materials, including advanced composites and various metals. The company boasts an impressive footprint, with its cutting-edge products deployed in over 10,000 facilities across 70 countries. To date, Markforged technology has been instrumental in printing more than 10 million parts, demonstrating its pervasive impact across diverse industrial applications, from prototyping and tooling to end-use production components. Its involvement spans the entire product development lifecycle, backed by a robust intellectual property portfolio encompassing over 170 issued and pending patents, solidifying its position at the forefront of additive manufacturing innovation. This strong foundation has translated into remarkable financial growth, with the company reporting approximately $70 million in revenue for 2020. Kevin Hartz, Founder and CEO of one, expressed his enthusiasm for the partnership, stating, “Markforged has already reinvented the additive manufacturing industry and is well-positioned for robust growth benefiting from the velocity of digitization. We’re thrilled to be working closely with the entire Markforged team, comprised of highly engaged founders, visionary leaders and world-class engineers, uniquely positioned to lead a revolution in modern manufacturing.” This sentiment highlights the shared belief in Markforged’s potential to continue disrupting traditional manufacturing paradigms through digital transformation.

An example of Markforged’s advanced industrial 3D printers (photo credits: Markforged)

The broader additive manufacturing industry is experiencing an unprecedented surge, with market valuations reflecting this rapid expansion. Experts project the sector to reach an estimated $18 billion in 2021 and forecast an astounding growth to $118 billion by 2029. This explosive trajectory is fueled by several factors, including increasing demand for customized parts, shorter lead times, enhanced supply chain resilience, and the ongoing drive towards industrial digitization. The past months alone have seen a flurry of significant activities within the industry, signaling robust health and investor confidence. Notable examples include Stratasys’s acquisition of RPS and Protolabs’ strategic acquisition of 3DHubs, alongside soaring stock valuations for many publicly traded additive manufacturing companies. These movements underscore a period of consolidation and accelerated investment as companies seek to expand their capabilities and market reach. Furthermore, detailed business reports covering the challenging 2020 period have consistently demonstrated that investments in additive manufacturing have yielded positive returns. Unlike many sectors that suffered severe setbacks, additive manufacturing proved to be one of the few industries that not only showed remarkable resilience in the face of the COVID-19 pandemic but also managed to achieve substantial growth, highlighting its inherent value proposition in times of global disruption and its potential for continued expansion.

Markforged’s Strategic Transaction: Merging with one and Going Public

The merger with one represents a pivotal moment for Markforged, positioning the company for accelerated growth and enhanced market leadership. According to a press release from Markforged, the combined entity is projected to achieve an estimated post-transaction equity value of approximately $2.1 billion upon closing. This substantial valuation reflects the market’s confidence in Markforged’s technology, intellectual property, and growth prospects within the rapidly expanding additive manufacturing sector. The transaction itself is anticipated to generate $425 million in gross proceeds for the company, assuming no redemptions by one shareholders. This significant influx of capital is earmarked for strategic investments designed to solidify Markforged’s competitive edge and fuel its expansion across key vertical markets. The funds will be strategically deployed to support the development of groundbreaking new products, innovate proprietary materials that push the boundaries of 3D printing capabilities, and explore expanded customer use cases that unlock new applications and markets. The transaction has received unanimous approval from the boards of directors of both Markforged and one, signaling strong internal alignment and confidence in the merger’s long-term benefits. The closing of this landmark deal is anticipated in the summer of 2021, setting the stage for Markforged’s debut on the New York Stock Exchange. Following the closing, current Markforged shareholders are expected to retain approximately 78% of the issued and outstanding shares of common stock, demonstrating a continuity of ownership and a shared vision for the company’s future success.

Markforged’s innovative 3D printing products are utilized in 70 countries worldwide (photo credits: Markforged)

The leadership at Markforged is equally enthusiastic about this momentous leap, articulating a clear vision for the company’s future as a publicly traded entity. Shai Terem, President and CEO of Markforged, shared his excitement, stating, “Our mission and vision are to reinvent manufacturing by bringing the power and agility of connected software to the world of industrial manufacturing. Today is a pivotal milestone as we progress towards making that vision a reality. We’re focused on making manufacturing even better by capitalizing on the huge opportunity ahead, and we are making this important leap through our new long-term partnership with Kevin Hartz and the entire team at one.” This statement encapsulates Markforged’s ambition to lead the charge in industrial transformation, leveraging software-driven innovation to enhance the efficiency, flexibility, and capabilities of modern manufacturing. The merger is not just a financial transaction but a strategic alignment aimed at accelerating this mission. The partnership with Kevin Hartz and the one team brings not only capital but also invaluable expertise in scaling technology companies, which will be crucial as Markforged navigates the complexities of the public market and expands its global footprint. This move is expected to empower Markforged to further invest in its Digital Forge platform, develop more sophisticated materials, and expand its ecosystem of applications, catering to an ever-wider range of industrial needs. The visibility and credibility gained from being a publicly listed company will also likely enhance Markforged’s ability to attract top talent, forge new strategic partnerships, and solidify its reputation as a leader in industrial additive manufacturing. For those interested in a deeper dive into Markforged’s investor perspective, a newly released investor video is available, and comprehensive details about Markforged’s transition to a public company can be found in its official press release HERE.

This landmark SPAC merger and subsequent public listing for Markforged represent a significant validation of the rapidly maturing additive manufacturing industry. It not only provides Markforged with substantial capital for innovation and expansion but also signals to the broader market the immense potential and growing importance of 3D printing technologies in modern industrial production. As Markforged embarks on this new chapter, its journey will undoubtedly be closely watched by investors, competitors, and customers alike, eager to witness the continued evolution of digital manufacturing. What are your thoughts on this pivotal merger and Markforged’s transition to a publicly traded company? We invite you to share your insights in a comment below or connect with us on our Facebook, Twitter, and LinkedIn pages! Don’t miss out on the latest advancements and news in the 3D printing world—sign up for our free weekly Newsletter here, delivered straight to your inbox!