6th Oct 2021 10:35
(Alliance News) - Xaar PLC on Wednesday reported that it will sell its 3D printing business to Stratasys Solutions Ltd in a deal worth up to USD33.8 million.
The Cambridge-based inkjet printhead supplier will sell Xaar 3D to its partner in the business Stratasys, a 3D printing specialist.
The deal will see Statasys make an initial USD12.8 million payment, followed by earn-out payments giving a total consideration of up to USD33.8 million.
Xaar said that although the 3D printing venture "continued to make progress this year", there were delays to the development of products due to the pandemic and that as a result more investment was needed than originally planned. Future financing and ownership options were considered but the group decided to ultimately sell the business.
"This agreement will provide Xaar 3D with the best opportunity to continue its progress and leadership in the field of industrial 3D printing," commented Chief Executive John Mills.
"The agreement will also allow us to focus on our core business and other opportunities in the market that will support our long-term growth strategy."
Xaar shares were down 3.6% at 152.00 pence each in London on Wednesday morning.
By Will Paige; [email protected]
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