3D printing company Desktop Metal has announced that it has agreed to go public via a reverse merger with Trine Acquisition (NYSE:TRNE) in a deal that values Desktop Metal at $2.5 billion.
The company stated that $575 million in proceeds as a result of the merger with Trine will be used to fund acquisitions in the 3D printing industry and to help Desktop grow, the company said.
“We want to be a consolidator in this industry. That's our plan of record and we plan to execute that,” said Desktop Metal Chief Executive, Ric Fulop.
Trine Share Price…
The news has seen Trine Acquisition's share price surge ahead of the US market opening on Wednesday. Its share price closed at $10.14 in the previous day's trading session and is up 7.30% at $10.88 premarket on Wednesday.
Desktop Metal has distribution channels in 60 countries and serves customers, including BMW, Lockheed Martin, and Honda.
The combined company is expected to have an estimated post-transaction equity value of up to $2.5 billion. It will be listed on the NYSE under “DM” once the merger is completed in the fourth quarter of 2020.