3D Systems expects Stratasys-Desktop Metal merger to be terminated

3D Systems (DDD) said it “welcomed” the determination by the board of Stratasys (SSYS) that 3D Systems’ proposal to combine with Stratasys is reasonably expected to result in a “superior proposal” under the terms of Stratasys’ merger agreement with Desktop Metal (DM). On July 13, 3D Systems delivered a signed merger agreement in escrow to Stratasys that provides for the shareholders of Stratasys to receive $7.50 per share in cash and 1.5444 newly issued shares of common stock of the combined company for each Stratasys ordinary share. The combination would result in Stratasys shareholders owning approximately 44% of the combined company and receiving approximately $540M in cash at the time of consummation of the transaction. 3D Systems “expects Stratasys to swiftly agree with Desktop Metal to terminate the Desktop Metal-Stratasys merger agreement and countersign the 3D Systems-Stratasys merger agreement, which is already signed by 3D Systems and now sits in escrow. 3D Systems commits to pay the full amount of any termination fees due to Desktop Metal upon the termination of the Desktop Metal merger agreement and Stratasys’ countersignature of the 3D Systems merger agreement.”