Markforged to Go Public via SPAC

Markforged Announces SPAC Merger Plans

Massachusetts-based technology firms seeking public listing through Special Purpose Acquisition Companies (SPACs) are making significant moves. Following Berkshire Grey’s announcement, Markforged, headquartered in Watertown, has revealed its own intentions for going public.

The metal 3D printing company is set to merge with ONE, a SPAC established by Kevin Hartz. Hartz is also slated to join Markforged’s board of directors following the completion of the merger.

Deal Details and Financial Implications

This transaction is projected to value the additive manufacturing company at approximately $2.1 billion. The merger is anticipated to generate around $400 million in capital for Markforged.

These funds will be strategically allocated towards research and development, focusing on new products and materials. Expansion into new industry sectors utilizing their technology is also planned. Shai Terem will continue to serve as the company’s Chief Executive Officer.

Company Growth and Technological Impact

“We have consistently been leaders in the additive manufacturing sector,” stated Terem in a press release. “This agreement will allow us to capitalize on our current success and secure the resources needed to strengthen our brand, accelerate innovation, and broaden customer adoption across vital industries.”

Since its inception in 2013, Markforged’s technology has been utilized to produce over 10 million parts. Their 3D printing machines are currently operational in approximately 10,000 locations spanning 70 countries.

The company reported roughly $70 million in revenue for the previous year. To date, Markforged has secured over $136 million in funding, including an $82 million investment round in 2019.

The Expanding 3D Printing Landscape

The 3D printing industry has experienced substantial growth in recent years, a trend expected to persist. Companies are increasingly leveraging this technology beyond its traditional role in rapid prototyping.

Metal printing, pioneered by companies like Markforged and Desktop Metal, represents a crucial advancement. It offers significantly enhanced durability compared to plastic-based 3D printing methods.

SPACs as a Route to Public Markets

SPACs are gaining prominence as a pathway for companies to enter the public market. While hardware manufacturers haven’t historically been major participants in this trend, this appears to be changing.

The completion of this deal is currently anticipated during the summer months.