The world of additive manufacturing is not immune from the SPAC craze. Desktop Metal, Shapeways, Markforged and Velo3D have all either completed or announced plans to go public through the process. Austin-based Essentium this week highlighted plans to add its name to the growing list, courtesy of a reverse merger with Atlantic Coastal Acquisition Corporation.
The deal would value the combined companies at $974 million, including $345 million in cash, courtesy of Atlantic Coastal. Essentium cites ongoing supply chain issues as a motivating factor in growing interest around additive manufacturing/3D printing.
“Fundamental deficits in our existing global supply chain models are being exacerbated by escalating obstacles such as trade imbalances and the global pandemic — all leading to protracted distribution bottlenecks,” CEO Blake Teipel said in a release. “Today’s announcement represents a major milestone in our efforts to provide long-term, sustainable solutions for a new manufacturing paradigm that can meet these global challenges head-on.”
We spoke to Teipel back in 2017, when Essentium detailed a plasma-based system that fuses together plastic 3D-printed material as it prints, resulting in a stronger object than the traditional FDM process. Essentium also utilizes a High Speed Extrusion process, one it claims is 5x to 15x faster than standard extrusion. The company’s existing clients include the U.S. DoD, Lockheed Martin and Ford.
The deal is expected to close in Q1 2022.