Proto Labs acquires FineLine Prototyping for $38M


Maple Plain, MN - US technology-enabled quick-turn manufacturer Proto Labs has acquired domestic additive manufacturing services provider FineLine Prototyping (Raleigh, NC) for $38 million.

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FineLine's services include stereolithography, selective laser sintering, and direct metal laser sintering services to corporate customers in the medical, aerospace, computer/electronics, consumer products, and industrial machinery industries. The company's 2013 sales reached approx. $9.7 million, according to the buyer's statement.

The deal aligns with Proto Labs' strategy to increase sales to product developers through envelope expansions and new services that lower time, cost, and waste in new product development, CEO Vicki Holt said in a statement. The deal is also the first step for the company in creating its new additive manufacturing service as it intends to enhance such capabilities in the US and globally, she noted.

The additive manufacturing business complements Proto Labs' existing CNC machining and injection molding services. The acquisition also better positions FineLine to meet the demand for additive manufacturing services by leveraging the customer base and global brand position of Proto Labs, FineLine president Rob Connelly noted.

The transaction should boost Proto Labs' earnings per share by the fourth quarter of 2014, according to the statement.

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