Shares of 3D printing company Stratasys (SSYS.US) are gaining nearly 12% as Nano Dimension has raised its takeover offer to $19.55 per share. A previous takeover offer of $18 per share was rejected. Management argued that it was highly undervalued and not 'in the best interest of shareholders.'
- According to acquisition offer, Nano Dimension would increase it's stake for about $1.2 billion. The offer is almost 10% higher than the original one in early March and represents a nearly 40% premium over the early March listing.Nano Dimension is the largest shareholder of Stratasys and hold the stake in company since July 2022 (14.5%);
- Investors perceive the company's willingness to make a complete takeover and the $1.55 increase in the proposed price as a signal of possible undervaluation of the company. The $19.55 price is more than 15% higher than the current market price around $15.5 per share;
- Nano Dimension called the increase to $19.55 a 'compelling premium' and indicated that it is determined to take over the company to assume leadership status in the growing digital printing market;
- In the background of the takeover may be a conflict between Nano Dimension CEO Yoav Stern and the largest shareholder, the Murchinson Ltd fund (5.5% stake), which is seeking to remove Stern. Murchinson claims he received an "overwhelming majority of votes" to remove three directors and the chairman during a vote in early March. Nano Dimension called the vote illegal;
- Internal problems may push back the prospect of a Stratasys takeover. Another major shareholder with a 5.1% stake in NanoDimension, Anson Funds called on the company to halt its planned takeover bid for Stratasys.
Stratasys (SSYS.US) shares, H4 interval. Along with a huge upward price gap and demand, the RSI has risen to nearly 70 points. The price remains above the SMA100 (black line) and SMA200 (red line). Andrews' pitchforks indicate that a possible next upward move could bring another about 10% increase in price. Source: xStation5
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile appThis content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
