Why 3D Systems Popped
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What: Shares of 3D Systems (NYS: DDD) have popped today by upwards of 13% on some merger and acquisition news within the sector.
So what: Israeli company Objet has decided to abandon its IPO plans and instead is choosing to merge with 3-D printer maker Stratasys (NAS: SSYS) . Objet CEO David Reis will lead the combined company, with Stratasys CEO becoming chairman.
Now what: Merging will allow the new company to broaden its reach and boost customer awareness of what 3-D printing and rapid prototyping can accomplish. Stratasys is seeing loftier gains, but the news was enough to send up rival 3D Systems, as all three of these companies compete in the 3-D printer market.
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At the time this article was published Fool contributorEvan Niuholds no position in any company mentioned. Check out hisholdings and a short bio. The Motley Fool owns shares of 3D Systems.Motley Fool newsletter serviceshave recommended buying shares of 3D Systems and Stratasys. The Motley Fool has adisclosure policy. We Fools don't all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days.
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