As of Monday, a deal set in motion back in November of last year for 3D Systems (NYSE:DDD) to acquire all shares of Cimatron Ltd. (NASDAQ: CIMT) for approximately $97 million is officially in the books.
3DS says the integration of Cimatron’s manufacturing and digital workflow software will strengthen the company’s 3D printing-centric advanced manufacturing operations. The Rock Hill, SC-based company says the transaction adds complementary tech and will extend sales coverage globally while it adds cross-selling opportunities.
It’s yet another example of how 3D Systems has aggressively put their capital in play for acquisitions to acquire other 3D printing-related firms.
The final details of the agreement means outstanding shares of Cimatron were purchased for $8.97 in cash per share.
Cimatron, one the leaders within the 3D CAD/CAM software space, boasts two main product lines: GibbsCAM and CimatronE. They’re both modeling software packages targeted to a wide range of manufacturing applications, and the software can be used with both 3D printers and CNC machines.
Avi Reichental, President and CEO of 3DS, said the purchase of trusted software will provide 3D Systems with a platform to take advantage of substantial economies of scope and strengthen his company’s supply chain dynamics.
“Cimatron represents a perfect strategic fit for our business by providing expanded capabilities in product development, sales coverage and complementary technology,” Reichental said of the deal. “We believe that this combination offers unique synergies with significant long-term customer benefits and shareholder value. We are delighted to welcome Danny Haran and his entire global team to 3DS as we complete the digital thread from design to digital fabrication.”
Cimatron products are used by companies to create 3D production molds, tools, and dies for end-use manufacturing applications. CimatronE is an integrated CAD/CAM solution for toolmakers and manufacturers which covers the manufacturing process from quoting through design and delivery. GibbsCAM is a software solution for programming any type of CNC machine tool from simple mills and lathes to complex, multi-axis multi-tasking machines.
“With a 30 year track record of providing comprehensive, cost-effective solutions that streamline manufacturing cycles and shorten product delivery time, it is the perfect time to become part of 3DS where we can substantially accelerate our progress and extend our reach and impact,” says Haran.
Haran, the former CEO of Cimatron, was named Executive Vice President and Chief Operating Officer of Software for 3DS.
Now that the merger is complete, ordinary shares of Cimatron will be delisted from the NASDAQ Stock Market and deregistered under the Securities Exchange Act and Cimatron will cease filing reports pursuant to the Exchange Act. Trading of ordinary shares in Cimatron were halted as of last night.
Do you think 3DS is following the correct strategy in purchasing movers and shakers in the additive manufacturing market? You can give us your take in the 3DS Deal for Cimatron forum thread on 3DPB.com.