Xaar has conditionally agreed terms to sell its remaining interest in Xaar 3D to joint partner Stratasys Solutions.
Xaar and Stratasys formed Xaar 3D in July 2018, with the aim to develop high-speed sintering additive manufacturing systems for Stratasys to bring to market. In September 2019, Stratasys increased its stake in Xaar 3D from 15% to 45%, with Xaar, through its subsidiary Xaar 3D Holdings, holding the remaining 55%. At that time, the agreement includes an option for Stratasys to acquire the remaining shares of Xaar 3D. This has now been realised.
Xaar noted that Xaar 3D has continued to make progress, although delays to the development of products due to the coronavirus pandemic have meant that the business potentially requires more investment than originally planned. The agreement with Stratasys will provide Xaar 3D with the ‘best opportunity’ to complete the commercialisation of the product range in the shortest time For Xaar, it enables greater to focus on its core business with an injection of cash. Xaar will continue to receive royalties on product and service sales, and additive manufacturing will continue to be an important focus for Xaar’s printhead business.
Xaar CEO John Mills said, ‘This agreement will provide Xaar 3D Ltd with the best opportunity to continue its progress and leadership in the field of industrial 3D printing. We have enjoyed our partnership with Stratasys and look forward to continuing to work with them to supply printheads to Xaar 3D and share in the long-term success of the business.
‘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.’
