3D Systems Announces Partial Repurchase of Convertible Senior Notes
December 06 2023 - 4:05PM
3D Systems (NYSE:DDD) (“the Company”) today announced that it
has entered into separate, privately negotiated repurchase
agreements with a limited number of holders of its 0% Convertible
Senior Notes due 2026 (the "Notes") to repurchase approximately
$135 million aggregate principal amount of the Notes at a 26%
discount to par value. The debt repurchase will be paid in cash
from the Company’s balance sheet.
The repurchases are expected to close on December 13, 2023,
subject to the satisfaction of customary closing conditions.
Following such closings, approximately $325 million principal
amount of the Notes will remain outstanding, from an initial issued
principal balance of $460 million. This remaining debt will
continue to be held at 0% interest and will fully mature in
November 2026.
Commenting on the transaction, President and CEO Dr. Jeffrey
Graves stated, “Today’s announced repurchase of approximately $135
million of our 2026 notes at a significant discount demonstrates
proactive liability management and disciplined execution in the
current environment. Opportunistically executing this transaction
reduces our debt by nearly 30% and reinforces the strength of our
balance sheet. Our current cash reserves remain some of the
strongest in the industry and, coupled with our intense focus on
cost optimization to drive sustainable profitability and enhanced
cash generation, we believe 3D Systems is well positioned to
deliver on the bright long-term future we see ahead.”
No Offer or SolicitationThis press release is
neither an offer to sell nor a solicitation of an offer to buy any
securities described above, nor will there be any offer,
solicitation, or sale of any securities in any jurisdiction in
which such offer, solicitation or sale would be unlawful.
About 3D Systems
More than 35 years ago, 3D Systems brought the innovation of 3D
printing to the manufacturing industry. Today, as the leading
additive manufacturing solutions partner, we bring innovation,
performance, and reliability to every interaction – empowering our
customers to create products and business models never before
possible. Thanks to our unique offering of hardware, software,
materials, and services, each application-specific solution is
powered by the expertise of our application engineers who
collaborate with customers to transform how they deliver their
products and services. 3D Systems’ solutions address a variety of
advanced applications in healthcare and industrial markets such as
medical and dental, aerospace & defense, automotive, and
durable goods. More information on the Company is available at
www.3DSystems.com.
Forward-Looking Statements
Certain statements made in this release that are not statements
of historical or current facts, including statements regarding the
expected closing the repurchases described herein, are
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements involve known and unknown risks, uncertainties and other
factors that may cause the actual results, performance or
achievements of the Company to be materially different from
historical results or from any future results or projections
expressed or implied by such forward-looking statements. In many
cases, forward looking statements can be identified by terms such
as “believes,” “belief,” “expects,” “may,” “will,” “estimates,”
“intends,” “anticipates” or “plans” or the negative of these terms
or other comparable terminology. Forward-looking statements are
based upon management’s beliefs, assumptions and current
expectations and may include comments as to the Company’s beliefs
and expectations as to future events and trends affecting its
business and are necessarily subject to uncertainties, many of
which are outside the control of the Company. The factors described
under the headings “Forward-Looking Statements” and “Risk Factors”
in the Company’s periodic filings with the Securities and Exchange
Commission, as well as other factors, could cause actual results to
differ materially from those reflected or predicted in
forward-looking statements. Although management believes that the
expectations reflected in the forward-looking statements are
reasonable, forward-looking statements are not, and should not be
relied upon as a guarantee of future performance or results, nor
will they necessarily prove to be accurate indications of the times
at which such performance or results will be achieved. The
forward-looking statements included are made only as the date of
the statement. 3D Systems undertakes no obligation to update or
revise any forward-looking statements made by management or on its
behalf, whether as a result of future developments, subsequent
events or circumstances or otherwise, except as required by
law.
Investor Contact: investor.relations@3dsystems.comMedia Contact:
press@3dsystems.com
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