Xometry Acquires Thomas, Accelerating the Manufacturing Industry’s Digital Transformation
December 08 2021 - 7:30AM
Xometry (NASDAQ: XMTR), the global marketplace for on-demand
manufacturing, today announced the acquisition of Thomas
(Thomasnet.com®), a leader in product sourcing, supplier selection
and digital marketing solutions. The cash and stock transaction,
valued at $300 million, is expected to close this week. Xometry’s
rapidly growing digital marketplace provides real-time access to
global manufacturing capacity and demand, helping accelerate the
digitization of the manufacturing industry.
The acquisition of Thomas is expected to rapidly
expand Xometry’s buyer and seller base, significantly enhancing
Xometry’s global digital marketplace for manufacturers. Xometry
also expects to leverage Thomas’ marketing and data services to
deliver an unmatched suite of end-to-end services for sellers with
additional fintech and digital marketing products.
“Xometry and Thomas share a common mission of
championing the digital transformation of the manufacturing
industry, one of the largest sectors of the global economy and the
foundation for innovation everywhere,” said Randy Altschuler, CEO
of Xometry. “Thomas brings strong brand equity, trusted and
extensive relationships, proprietary data and advanced full-funnel
marketing services – assets that perfectly complement our digital
marketplace. Together, we will introduce new services, cross-sell
to our combined base and expand our suite of products, particularly
in fintech and digital marketing.”
“Thomas has a long and proud history of bringing
active buyers and sellers together on our Thomasnet.com platform
and providing the data and marketing services that inform
decision-making,” said Tony Uphoff, President and Chief Executive
Officer of Thomas. “In joining forces with Xometry, we’re uniting
our products with the power of the Xometry marketplace so we can do
even more for industry together.”
An industry leader in on-demand manufacturing,
Xometry connects enterprise buyers across industries such as
aerospace, consumer products, defense, industrial, automotive,
medical, energy, robotics, green-tech and more with sellers of
custom-manufactured parts worldwide. At the end of Q3 2021, Xometry
had 26,187 active buyers, including nearly 30% of the Fortune 500.
Leveraging AI and machine-learning technology, the Xometry
marketplace provides immediate pricing, delivery lead times and
quality assurance in a highly fragmented environment, as well as a
suite of financial products that enable manufacturers to grow their
businesses.
Thomas brings deep relationships with highly
qualified enterprise buyers and engineers. The company’s industry
leading Thomasnet.com platform boasts more than 1.3 million
registered users (including 93 percent of Fortune 1000 companies)
and more than 500,000 commercial and industrial sellers, including
45,000 diversity certified sellers. Every year, more than 20
million sourcing sessions are initiated on Thomasnet.com,
generating extensive first-party buyer intent data across multiple
sectors.
Transaction DetailsUnder the terms
of the deal, Xometry is acquiring Thomas on a cash-free, debt-free
basis for $300 million subject to customary adjustments –
approximately $198.5 million in cash and $101.5 million in
Xometry’s Class A common stock.
The acquisition is expected to be immediately
accretive to gross margin and Adjusted EBITDA margin. We expect the
deal to accelerate our path to profitability and expect full year
profitability in 2023. Based on anticipated revenue synergies, we
expect the pro forma company revenue growth rate to be consistent
with Xometry’s expected revenue growth on a standalone basis in
2022.
Goldman Sachs & Co. LLC acted as the financial
advisor and BakerHostetler acted as the legal advisor to Xometry.
DC Advisory US acted as the financial advisor and Winston &
Strawn LLP as the legal advisor to Thomas.
Investor Presentation & Conference
CallXometry has published a presentation to its investor
relations website at https://investors.xometry.com.
Xometry management will host a conference call at
8:30 a.m. today, Dec. 8, to discuss the acquisition.
Conference Dial-In Numbers:Conference ID:
1193859Participant Toll-Free Dial-In Number:
18773132061Participant International Dial-In
Number: 14704959537
About XometryXometry is a leading
digital marketplace for on-demand manufacturing, transforming one
of the largest industries in the world. Xometry uses its
proprietary technology to create a marketplace that enables buyers
to efficiently source on-demand manufactured parts and assemblies,
and empowers sellers of manufacturing services to grow their
businesses. Xometry’s buyers range from self-funded startups to
Fortune 100 companies.
Media Contacts:Matthew Hutchison
for Xometry415-583-2119Matthew.Hutchison@Xometry.com
Investor Contact:Shawn
Milne240-335-8132Shawn.Milne@Xometry.com
Source: Xometry, Inc.
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