August 10, 2022

Markforged to expand into mass production of end-use metal parts

Markforged, creator of integrated metal and carbon fiber additive manufacturing platform, The Digital Forge, today announced that it has entered into a definitive agreement with Höganäs AB to acquire Digital Metal, the creator of a projection solution binder recognized for its precision and reliability. , extending Markforged’s capabilities to high throughput production of metal additive parts.

The addition of Digital Metal reinforces Markforged’s strategy to solve manufacturing problems for industrial customers where they are needed. With this new offering, manufacturers have the ability to produce large volumes of functional metal parts with minimal setup required. Traditional production often takes months to transition from design to manufacturing, introduces third-party vendor risk, and offers poor unit economics during ramp-up and in lower volumes.

Markforged sees powder binder jetting as a highly scalable additive manufacturing technology for production-grade parts using a variety of metallic materials. Digital Metal’s solution is designed to deliver parts of unmatched high precision, quality and reliability. Powder Binder Jetting complements Digital Forge’s existing offering and will expand Markforged’s addressable market by solving new customer challenges. For more information, see the IDTechEx report Metal Additive Manufacturing 2022-2032: Technology and Market Outlook.

“With the acquisition of Digital Metal, Markforged is advancing our vision of distributed manufacturing by enabling the reliable, high-volume production of precise metal parts at the point of need. The integration of Digital Metal’s solution into the platform Digital Forge allows us to address new applications in the medical, automotive, luxury and other industries,” said Shai Terem, President and CEO of Markforged. “The Digital Metal team has created a robust and scalable solution that complements our existing technologies. I look forward to welcoming their talents to Markforged.”

Founded in 2003, Digital Metal is a wholly owned subsidiary of Höganäs AB and the creator of proprietary AM binder jetting technology. Known for their high productivity, excellent surface quality and superior resolution, Digital Metal Printers have been used to produce hundreds of thousands of parts, including parts for consumer product leaders, universities and industry automobile. Markforged sees significant opportunities to further accelerate the adoption of Digital Metal through integrated software capabilities and a global go-to-market engine.

“Markforged’s easy-to-use platform, best-in-class software capabilities, and hardware expertise seemed like a natural fit for the future of our technology,” said Christian Lönne, CEO of Digital Metal. “With Markforged’s experience and scale to market, we are confident that we will be able to grow our technology together and help more manufacturers produce the high-volume metal parts they need. needed to conduct highly productive and profitable operations.”

As part of the transaction, Markforged will pay Höganäs approximately $32 million in cash, approximately 4.1 million shares of Markforged common stock and approximately $1.5 million in cash to settle certain intercompany balances, subject to certain adjustments. The acquisition of Digital Metal is expected to close during the third quarter of 2022, subject to customary conditions.

About Digital Metal

Digital Metal’s proprietary binder jetting technology enables the production of highly complex objects with superior surface finish and repeatable precision not possible with competing technologies. In addition to the development, manufacture and sale of printers, Digital Metal also offers small and large volume printing services. Many of the world’s largest companies in aerospace, automotive, industrial, medical technology, energy, luxury and education are among its clients. Digital Metal® was founded in 2003 and is based in southern Sweden. The company is part of the Höganäs Group (founded in 1797), one of the leading producers of metal powders. Learn more at www.digitalmetal.tech or www.linkedin.com/company/digital-metal.

About Markforged

Markforged (NYSE: MKFG) is reinventing the way humans build while leading a technological transformation of manufacturing with solutions for businesses and societies around the world. Markforged Digital Forge brings the power and speed of agile software development to industrial manufacturing, combining hardware, software and materials to solve supply chain problems at the point of need. Engineers, designers, and manufacturing professionals around the world rely on Markforged metal and composite printers for high-value tooling, fixtures, functional prototyping, and end-use production. Markforged is headquartered in Watertown, Massachusetts, where it designs its products with more than 400 employees worldwide. To learn more, visit www.markforged.com external link.

Source: Spark PR

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