Desktop Metal to be publicly listed following investment from Trine

August 27, 2020

Desktop Metal’s Shop System, with machine and sintering furnace. This is one of several sinter-based metal Additive Manufacturing systems offered by the company (Courtesy Desktop Metal)

Metal Additive Manufacturing technology developer Desktop Metal, Burlington, Massachusetts, USA, has announced that it will become a publicly listed company during the fourth quarter of 2020. The company has signed a definitive business combination agreement with Trine Acquisition Corp., (TRNE) a special purpose acquisition company led by Leo Hindery, Jr., and HPS Investment Partners, a global credit investment firm.

It was reported that Desktop Metal’s existing shareholders will hold approximately 74% of the issued and outstanding shares of common stock immediately following the closing of the business combination. The resulting operating company will be named Desktop Metal, Inc. and will continue to be listed on the New York Stock Exchange and trade under the ticker symbol “DM.”

“We are at a major inflexion point in the adoption of Additive Manufacturing, and Desktop Metal is leading the way in this transformation,” stated Ric Fulop, co-founder, chairman & CEO of Desktop Metal.

“Our solutions are designed for both massive throughput and ease of use, enabling organisations of all sizes to make parts faster, more cost-effectively, and with higher levels of complexity and sustainability than ever before.” 

“We are energised to make our debut as a publicly-traded company and begin our partnership with Trine, which will provide the resources to accelerate our go-to-market efforts and enhance our relentless efforts in R&D,” Fulop continued.

Desktop Metal stated that the AM industry grew at a 20% annual compound rate between 2006 and 2016 before accelerating to 25% compound annual growth over the last three years, a rate that is expected to continue over the next decade as the market surges from $12 billion in  2019 to an estimated $146 billion in 2030.

This market inflexion is said to be driven by a shift in applications, from design prototyping and tooling to mass production of end-use parts, enabled by the emergence of what Desktop Metal is referring to as ‘Additive Manufacturing 2.0 – a wave of next-generation AM technologies that unlock throughput, repeatability, and competitive part costs. 

Desktop Metal explains that the transaction will enable the company to capitalise on its position at the forefront of Additive Manufacturing 2.0, by accelerating its rapid growth and product development efforts. The company states that it will also use the proceeds to support constructive consolidation in the AM industry.

TRNE, which currently holds $300 million in cash in trust, will combine with Desktop Metal at an estimated $2.5 billion pro forma equity value. 
Leo Hindery, Jr., chairman & CEO of TRNE, added, “After evaluating more than 100 companies, we identified Desktop Metal as the most unique and compelling opportunity, a company that we believe is primed to be the leader in a rapidly growing industry thanks to their substantial technology moat, deep customer relationships across diverse end markets, and impressive, recurring unit economics.”

“Ric has put together an exceptional team and board of directors with whom we are excited to partner to create the only publicly traded pure-play Additive Manufacturing 2.0 company,” continued Hindery, Jr.

The boards of directors of both Desktop Metal and TRNE have unanimously approved the proposed transaction. Completion of the proposed transaction is subject to the approval of Trine and Desktop Metal stockholders and other closing conditions, including a registration statement being declared effective by the Securities and Exchange Commission.

Tom Wasserman, director of TRNE and managing director of HPS Investment Partners, concluded, “We are thrilled to partner with Ric and Desktop Metal to help the company achieve its goals and capture the massive Additive Manufacturing 2.0 opportunity. Thanks to its tremendous team, we believe Desktop Metal has incredible potential for future growth, which will only be accelerated by the extensive financial resources provided by this transaction.”

www.desktopmetal.com

www.sec.gov

Download the latest issue of Metal AM magazine

Our latest issue is now available to view online or download in PDF format.

As well as an extensive AM industry news section, this 216-page issue includes articles and reports on:

  • Atherton Bikes: The journey from world title success to mastering Additive Manufacturing for performance bike production
  • Advancing rocket propulsion through Additive Manufacturing, novel surface finishing technologies and public-private partnerships
  • From aerospace engineering to AM: Melanie Lang on FormAlloy and the future of Directed Energy Deposition (DED)
  • Additive Manufacturing of hardmetals: An evaluation of potential processes for tool production
  • High-performance nickel-base alloys for Additive Manufacturing: A review of their limitations and potential
  • Metal Additive Manufacturing in New Zealand: An overview of research, commercial activities and strategic initiatives
  • Hybrid inserts for mould and die production: How workflow optimisation can help make the business case for AM
  • Neighborhood 91: The bridge to Additive Manufacturing production
  • > More information

Latest news

    E-newsletter

    Sign up to our e-newsletter, sent weekly to AM professionals and end-users around the world. We'll also let you know each time a new issue of Metal AM magazine is available.

    Discover our magazine archive…

    The free to access Metal Additive Manufacturing magazine archive offers unparalleled insight into the world of metal Additive Manufacturing from a commercial and technological perspective through:
    • Reports on visits to leading metal AM part manufacturers and industry suppliers
    • Articles on technology and application trends
    • Information on materials developments
    • Reviews of key technical presentations from the international conference circuit
    • International industry news
    All past issues are available to download in PDF format, in either single page format or as double-page “spreads” for viewing on large monitors. All downloads are free of charge. Go to archive...

    Connect with us

    Visit our social media channels and sign up to our e-newsletter

    Copy link
    Powered by Social Snap