3D Systems Corp. (NYSE: DDD) has decided to pursue yet another acquisition. The 3D printing leader announced that it has acquired a company called Laser Reproductions, which specializes in advanced manufacturing product development and engineering services.
This acquisition looks to extend its Quickparts operations throughout the United States. 3D Systems expects this to build on strong regional relationships through Laser Reproductions’ customers.
Laser Reproductions claims to have three decades of advanced manufacturing services. They also claim to have substantial production capabilities, as well as long-standing relationships with blue chip companies within its region.
3D Systems did not disclose the financial terms of this buyout. Still, the company represented that this acquisition will be immediately accretive to cash generation and that it will contribute to 3D’s operating earnings per share this year. The company also forecast that the buyout will further enhance its on-demand, quick-turn cloud manufacturing services, while continuing to increase 3D Systems’ footprint throughout North American.
We do not have more recent financial date on Laser Reproductions, but a post from 2012 said that the company averaged $4.9 million in revenue per year. Its manufacturing rep portion of Laser was represented as being accountable for 20% of revenue, while the 3D printing business accounted for 80%, but again that was 2012 data.
Shares of 3D Systems rose on the news. Shares were initially down on the day, but then the stock was up 2% at $47.90 in the first 20 minutes of trading. 3D Systems’ shares have traded in a 52-week range of $43.35 to $97.28, and the Thomson Reuters consensus price target is $59.63.
ALSO READ: Short Sellers Pour Back Into 3D Printing Sector
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