3D printer maker Stratasys Inc. (Nasdaq: SSYS) plans to raise more than $400 million in a public offering. The company, a merger of Israel's Objet and Stratasys of the US, has a market cap of $4.1 billion, and had $148 million in cash at the end of June.
The company has filed a prospectus with the US Securities and Exchange Commission (SEC) to issue four million shares, and will grant the underwriters an over-allotments option to buy up to 600,000 shares. At Monday's closing price of $105.22, the offering will raise a gross $409 million, and if the underwriters exercise their options in full, the amount will increase to $471 million.
JP Morgan is lead underwriter, and Piper Jaffray, Morgan Stanley, BofA Merrill Lynch, and Needham & Company are the co-managers.
Stratasys will use the proceeds for business purposes, including acquisitions, capital expenses, and working capital. Earlier this year, it acquired Makerbot, a manufacturer of 3D desktop printers, for $403 million in shares. The price could increase by up to $200 million, subject to meeting milestones. Stratays says in the prospectus that some of the proceeds could be used to make these milestone payments, if they are made in cash, rather than shares.
Stratasys's share price fell 1.2% in premarket trading on Tuesday to $104.
Published by Globes [online], Israel business news - www.globes-online.com - on September 10, 2013
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