BREAKING NEWS: Stratasys secures $120M funding from Israeli Investment Fund!
The Atomic Layers: S7E2 (00180)
Atomic Layer of the Day:
Sigh… So today, I wanted to continue yesterday’s discussion about metal 3D printing, but then this huge news dropped!
Stratasys has just announced something that could significantly impact its future.
The Israeli private equity fund Fortissimo Capital has invested $120 million in the company, acquiring around 14% of its shares. The fund, which specializes in technology and industrial investments, purchased 11.65 million new Stratasys common shares at a price of $10.30 per share—representing a 10.6% premium over the January 31, 2025, closing price.
With this transaction, Fortissimo will increase its stake in Stratasys from 1.5% to approximately 15.5%. The agreement also includes an 18-month lock-up period for the shares and standard acquisition restrictions.
Additionally, Yuval Cohen, the founder and managing partner of Fortissimo, will join Stratasys' board of directors.
This move indicates that the fund takes this investment seriously and intends to have ongoing oversight of what’s happening in the company.
At the same time, Stratasys also released its preliminary, unaudited financial results for Q4 2024. The company reported revenue of $150.1–$150.5 million. Compared to Q3, there was an increase in 3D printer sales but a decline in consumables.
Gross margin under GAAP ranged from 46.0% to 46.5%, while non-GAAP gross margin was between 49.4% and 49.7%. The company reported an operating loss under GAAP of $13.3–$14.4 million but a non-GAAP operating profit of $9.0–$9.5 million.
Net loss under GAAP stood at $15.3–$16.5 million, while non-GAAP net profit ranged from $8.1 to $8.6 million. Despite this, the company recorded positive cash flow from operating activities, which is a good sign. Stratasys also maintains its forecast of achieving an 8% EBITDA margin in 2025, with the potential to grow to 10% with moderate revenue increases.
To sum up, not great, not terrible.
Now, going back to the investment—the natural question is: why did Stratasys facilitate this deal? Is it a preparation for potential acquisitions or is it simply about improving financial results and securing funding for more ambitious growth plans?
Fortissimo has experience in transforming tech companies, which suggests that this investment might be linked to expansion or operational optimization plans for Stratasys. Given the Q4 2024 preliminary results, which showed both positive and negative aspects, this investment could be crucial for stability and further growth.
Overall, I have a feeling about this—some loose thought I don’t want to dive into just yet. No, I don’t think this investment is a rescue effort—this isn’t Desktop Metal, nor Velo3D.
Private equity funds like Fortissimo are not charities—if they’re investing $120 million, the expectation is that within the next ~5 years, this amount will grow significantly. For that to happen, something has to happen. And it has to be more than just restructuring.
No, this isn’t about acquiring Bambu Lab. Or Creality3D. It’s something else. That’s what I think.
This is the beginning of a new story…
Atomic Layer from the Past:
02-02-2004: Adrian Bowyer launched the RepRap Project.
News & Gossip:
- reported today on VoxelMatters that Gucci unveiled the Gucci Cub3d, a limited-edition sneaker featuring SLS 3D printed elements and a Demetra upper. Combining luxury and technology, its lattice midsole was designed in Rhino and Grasshopper. Limited to 20 pairs, it debuts at Gucci's flagship boutique from April 16-21.
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