Nexa3D has signed a letter of intent (LOI) to acquire Essentium, adding an extrusion 3D printing technology to its existing VAT photopolymerisation and powder bed fusion processes.
The deal could be completed before the end of the year, but is subject to customary shareholder and regulatory approvals and governmental filings.
Explained: Why Nexa3D is acquiring Essentium
Essentium has made a name for itself in the polymer extrusion 3D printing market, initially in the development and supply of materials, and later with the addition of its High Speed Extrusion (HSE) series of 3D printing systems. As the company expanded into 3D printing hardware, it first introduced its HSE 180 platform and subsequently launched the HSE 280i HT and HSE 240 HT with dual extrusion capabilities, all the while introducing new grades of filament, such as PEKK and PPS-CF.
This development of 3D printers and materials has seen the HSE technology adopted in the defence, drone and orthosis & prosthesis markets, with the company striking up good relations with the US Air Force.
Concurrently, Nexa3D has grown from a small start-up bringing its SLA-based NXE 400 3D printer to market to a company vying to become a leader in polymer 3D printing. That has not only seen the company expand its SLA offering with, for example, the XiP Series of 3D printers, but also branch out into powder bed fusion technologies with the acquisitions of NXT Factory and XYZ Printing's SLS business.
By agreeing to acquire Essentium, the company now also moves into the Fused Filament Fabrication market, with the companies noting their complementary portfolios, as well as the opportunity for technology synergies. Nexa3D feels it can benefit from Essentium's deep materials expertise, while Essentium sees before it an opportunity to take advantage of Nexa's 120-strong reseller network, and its strengths in hardware and software. Since Nexa3D is yet to penetrate the defence industry or work with the US Department of Defence, Essentium plugs a gap there too.
"We are looking forward to welcoming the Essentium team to Nexa3D’s growing family,” commented Avi Reichental, Co-founder, Chairman, and CEO of Nexa3D. “This acquisition will be a testament to our unwavering commitment to pushing the boundaries of 3D printing technology. By joining forces with Essentium, we aim to create synergies that will deliver unmatched value to our customers. Together, we will drive ultrafast additive manufacturing innovation and provide even more powerful solutions for manufacturers seeking to achieve their production goals."
Blake Teipel, CEO of Essentium, added: "We believe that our joint expertise will disrupt the industrial 3D printing market in a profound way. Nexa3D and Essentium share a vision of empowering manufacturers to create what was once considered impossible. Our alignment will enable us to offer game-changing 3D printing solutions for our clients. When we considered potential combination partners from around the industry, we were blown away by the growth, technology, and delivery velocity underpinning Nexa3D. We feel we are joining a team of fast-movers, similar in mindset to our own, and we look forward to enabling greater adoption of industrial AM together for years into the future."
The companies say they are committed to ensuring a smooth transition and maintaining uninterrupted service to existing and prospective customers as they complete what would be Nexa's fourth major acquisition. The company kicked its inorganic growth off with the takeover of NXT Factory in August 2020, before acquiring both AddiFab and the SLS business of NXT Factory earlier this year. It has supplemented the integration of these companies with the continued development of its resin 3D printing portfolio, bringing the XiP desktop printer to market in 2022, launching the XiP Pro at RAPID + TCT in 2023, and introducing a dental 3D printing system too.
In addition to Essentium's developments within its polymer portfolio, the company has also announced its intentions to expand into metal 3D printing in the past (with work still ongoing), and launched its EPOD 3D printing service earlier this year, three months after TCT broke the news.
Read more:
- Explainer | Why Nexa3D acquired AddiFab and the XYZprinting SLS business
- Interview | Essentium details quest to enable additive manufacturing at scale at AMUG 2019
- Interview | Avi Reichental: The rights and wrongs of a 3D printing evangelist
- Podcast | #100 Additive Insight - Print the Legend: A decade on
