Core Viewpoint - Datametrex AI Limited has confirmed the terms of two private placement financings totaling up to $4,000,000, which includes common shares and subscription receipts priced at $0.08 each [1] Group 1: Financing Details - The company is conducting a non-brokered private placement of up to $3,000,000 of common shares [1] - Additionally, there is a non-brokered private placement of up to $1,000,000 of subscription receipts [1] - Both the common shares and subscription receipts will be priced at $0.08 each [1]

Core Viewpoint - Datametrex AI Limited has signed a non-binding Letter of Intent to acquire the Yuzu payment processing solution from Firstpayment Inc. for approximately $5.5 million, subject to certain conditions [1] Group 1: Acquisition Details - The acquisition includes related patents and intellectual property associated with the Yuzu Payment Solution [1] - The purchase price of $5.5 million is intended to be satisfied through the issuance of approximately 55,000,000 common shares at a deemed issue price of $0.10 per share [1] - The transaction is contingent upon TSXV acceptance, completion of legal and financial due diligence, and negotiation of a definitive asset purchase agreement [1]

Core Viewpoint - Desktop Metal, once valued at nearly $6 billion, filed for Chapter 11 bankruptcy protection, reflecting not only its internal issues but also the broader challenges faced by the 3D printing industry [1] Company Overview - Desktop Metal was founded in 2015 in Massachusetts, backed by a strong team including founders from A123Systems and professors from MIT [2] - The company focused on metal binder jetting technology, launching its first production system, the Studio System, in 2017 at a price of $120,000 [3] Capital Market Dynamics - The company attracted significant investment, completing $438 million in private financing by 2020, with a valuation reaching $2.5 billion [4] - Desktop Metal went public via a SPAC merger in December 2020, achieving a valuation of $2.3 billion despite only $13 million in revenue for the first three quarters of 2020 [4][5] Aggressive Expansion - Following its IPO, Desktop Metal engaged in aggressive expansion, spending $370 million on six acquisitions between 2022 and 2024 [6] - Key acquisitions included EnvisionTEC for $300 million, expanding into the medical sector, and several other companies to build a comprehensive additive manufacturing solution [7][8] Financial Challenges - The aggressive acquisition strategy led to a 217% increase in management costs by 2023, while the core product's gross margin remained below 15% [9] - From 2021 to 2023, the company reported over $1 billion in net losses, with a stock price drop of 96% following the Federal Reserve's interest rate hikes [9][10] Bankruptcy and Acquisition - In April 2024, Desktop Metal agreed to be acquired by Nano Dimension for $179.3 million, a significant drop from its peak valuation [11] - Following the acquisition, Desktop Metal filed for bankruptcy protection in July 2025, citing past management decisions as a cause of its financial distress [12] Industry Implications - The bankruptcy of Desktop Metal serves as a warning for the 3D printing industry, highlighting the need for effective commercialization of technology and financial risk management [15] - The overall 3D printing sector is experiencing challenges, with many companies facing similar issues of technological bottlenecks and insufficient profitability [14]

Company Status - Desktop Metal, a 3D printer manufacturer, filed for bankruptcy [1] Business Operations - The bankruptcy occurred months after new owners were forced to complete a takeover [1]

Group 1 - Nano Dimension Ltd. is engaged in a contentious M&A transaction to acquire Desktop Metal, Inc. for $5.50 per share, subject to adjustments [1] - Desktop Metal's stock price increased significantly, trading at $4.43 pre-market after a 99% surge the previous day [1] - Bram de Haas, with 15 years of investing experience and a background in managing a Euro hedge fund, is involved in the investment process, leveraging his risk management skills [1]

Core Viewpoint - Nano Dimension Ltd. plans to release its 2024 Annual Report in April 2025, which will include the fourth quarter and full year results for 2024, pending a court decision related to a lawsuit with Desktop Metal [2][3]. Group 1: Annual Report Details - The 2024 Annual Report will be filed later than usual due to the pending lawsuit's potential impact on material disclosures and the company's business outlook [3]. - The report is expected to be released before the required filing date of April 30, 2025 [3]. Group 2: Company Overview - Nano Dimension provides digital manufacturing solutions across various sectors, including aerospace and defense, advanced automotive, high-tech industrial, specialty medical technology, and R&D and academia [4]. - The company offers technologies that enable prototyping and high-mix-low-volume production, emphasizing IP security and sustainable fabrication methods [5].

Financial Performance - For the three months ended September 30, 2024, the company recognized revenues of $36.4 million, while for the nine months, revenues totaled $115.9 million[154]. - The company incurred net losses of $35.4 million for the three months and $191.0 million for the nine months ended September 30, 2024[154]. - Total revenue for the three months ended September 30, 2024, was $36.4 million, a decrease of $6.4 million, or 15%, compared to $42.8 million in the same period of 2023[177]. - Total revenue for the nine months ended September 30, 2024, was $115.9 million, a decrease of $21.4 million, or 16%, compared to $137.4 million in 2023[193]. - Gross profit for the nine months ended September 30, 2024, was a loss of $31.2 million, compared to a profit of $6.6 million in the same period of 2023, reflecting a decrease of $37.8 million[197]. - GAAP net loss for the three months ended September 30, 2024, was $35.4 million, compared to a net loss of $46.4 million for the same period in 2023[226]. - The company incurred a net loss of $191.0 million for the nine months ended September 30, 2024, compared to a net loss of $148.7 million for the same period in 2023[227]. Cost Management and Initiatives - The 2022 Initiative resulted in $20.7 million in cost savings in the second half of 2022 and achieved $100 million in annualized cost savings in 2023[161]. - The company anticipates at least $50 million in aggregate annualized cost savings from the 2024 Initiative, which includes a global workforce reduction of approximately 20%[163]. - Restructuring charges related to the 2024 Initiative were $1.8 million for the three months and $3.9 million for the nine months ended September 30, 2024[164]. - The company expects total pre-tax restructuring charges of $82.1 million to $82.5 million under the Photopolymer Initiative, including $80.3 million in incremental depreciation and amortization[166]. Revenue Breakdown - Products revenue decreased by $5.6 million, or 15%, to $31.9 million, primarily due to a reduction in units shipped driven by macroeconomic conditions[178]. - Services revenue also decreased by $0.8 million, or 15%, to $4.5 million during the same period[178]. - Products revenue for the nine months ended September 30, 2024, decreased by $22.6 million, or 19%, to $98.9 million, while services revenue increased by $1.2 million, or 8%, to $17.0 million[193]. - Revenue from the Americas decreased by 14% to $75.8 million, while EMEA and APAC revenues fell by 22% and 10%, respectively[194]. Operating Expenses - Total cost of sales for the three months ended September 30, 2024, was $33.2 million, a decrease of $7.6 million, or 19%, compared to $40.8 million in 2023[181]. - Total cost of sales increased by 13% to $147.2 million, driven by incremental amortization related to the Photopolymer Initiative[195]. - Research and development expenses decreased by $9.0 million, or 44%, to $11.5 million for the three months ended September 30, 2024, compared to $20.5 million in 2023[186]. - Sales and marketing expenses increased by 57% to $45.0 million, driven by amortization related to the Photopolymer Initiative[201]. - General and administrative expenses increased by $7.8 million, or 82%, to $17.3 million for the three months ended September 30, 2024, compared to $9.5 million in 2023[188]. - General and administrative expenses rose by 18% to $59.7 million, influenced by incremental amortization and depreciation from the Photopolymer Initiative[202]. Cash Flow and Liquidity - Cash used in operating activities during the nine months ended September 30, 2024, was $53.4 million, with cash and cash equivalents at $30.6 million and current liabilities at $61.2 million[154]. - Cash and cash equivalents as of September 30, 2024, totaled $30.6 million, primarily invested in money market funds and fixed income instruments[228]. - The company has lease payment obligations of $26.6 million as of September 30, 2024, with $7.9 million payable within the next 12 months[231]. - A multi-draw term loan credit facility of up to $20.0 million is available to the company starting January 7, 2025, subject to certain conditions[229]. - Net cash used in operating activities was $53.4 million for the nine months ended September 30, 2024, consisting of $191.0 million in net losses, adjusted for non-cash items[238]. Legal Matters - Desktop Metal faced multiple legal challenges, including a dismissed Consolidated Complaint related to alleged securities violations, with the court ruling in favor of the defendants on September 21, 2023[259]. - A new complaint was filed on August 12, 2024, alleging omissions in the Preliminary Proxy Statement regarding the Nano Merger, but was voluntarily dismissed by the plaintiff on August 16, 2024[260]. - Additional complaints were filed in September 2024, alleging negligent misrepresentation and disclosure deficiencies in the Definitive Proxy Statement[260]. - Two stockholders filed actions in Delaware seeking records related to the Nano Merger under Section 220 of the Delaware General Corporations Code[261]. - Desktop Metal believes all complaints are without merit and intends to defend against them vigorously[261].

Group 1 - Monteverde & Associates PC is investigating Desktop Metal, Inc. regarding its proposed merger with Nano Dimension Ltd, where Desktop Metal shareholders will receive $5.50 in cash per share [1] - The shareholder vote for the merger is scheduled for October 2, 2024 [2] - Monteverde & Associates PC is recognized as a Top 50 Firm in the 2018-2022 ISS Securities Class Action Services Report, indicating its successful track record in recovering money for shareholders [1][2] Group 2 - The firm operates from the Empire State Building in New York City and has a national presence in class action securities litigation [2] - Monteverde & Associates PC emphasizes that no company, director, or officer is above the law, reinforcing its commitment to shareholder rights [3]

Financial Data and Key Metrics Changes - Consolidated revenue for Q2 2024 was $38.9 million, down from $53.3 million in Q2 2023, primarily due to weaker hardware sales [33] - Non-GAAP gross margins decreased to 29.2% in Q2 2024 from 31% in the prior year, reflecting lower revenue and cost absorption [34] - Non-GAAP operating expenses were $27.0 million in Q2 2024, reduced by $1.6 million sequentially and by $7.7 million year-over-year, showing improvements of 5.6% and 22.2% respectively [35] - Adjusted EBITDA for Q2 2024 was negative $13.2 million, an improvement of $1.8 million compared to Q2 2023 [35] - The company closed Q2 with $46.7 million in cash, with elevated outflows due to deal-related expenses [36] Business Line Data and Key Metrics Changes - Weaker hardware sales were the main contributor to the decline in revenue, while consumables and services remained roughly flat year-on-year [33] Market Data and Key Metrics Changes - The additive manufacturing industry has faced significant challenges, with many public companies in the sector experiencing declines in value and profitability [14][15] - Four publicly traded companies in the additive manufacturing space have failed or been delisted in the last two quarters due to deteriorating market conditions [15] Company Strategy and Development Direction - The proposed merger with Nano Dimension is seen as a strategic move to strengthen the company's competitive position and create long-term shareholder value [18] - The merger aims to establish a leader in the additive manufacturing space by combining complementary product portfolios and technologies [19] - The company believes that the merger will accelerate the industry's transition into mass production and create a well-capitalized entity to support customers [21][22] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging business environment due to rising interest rates and slowing capital expenditure budgets, which have pressured the financial position [12] - There is a belief that remaining a standalone company with a constrained balance sheet is not a viable long-term strategy [12] - Management expressed confidence that the merger with Nano Dimension represents the best option for stakeholders amid a difficult market [29] Other Important Information - The company has reduced non-GAAP operating expenses by 48% since Q1 2022, while also improving gross margins [10] - The company is no longer providing guidance for the remainder of 2024 due to the pending acquisition [36] Q&A Session Summary Question: Challenges in closing deals - Management noted that customers were hesitant to engage due to the company's financial position, impacting deal closures [38] Question: Cash burn and future focus - Elevated cash burn in Q2 was partly due to deal-related expenses, and there will be an increased focus on managing cash burn in the upcoming quarters [40]

Core Points - Datametrex AI Limited has announced an extension for its non-brokered private placement financing, allowing it to raise up to $1,500,000 through the issuance of 75,000,000 units, with a new deadline of August 29, 2024 [1][2] - Each unit consists of one common share and one warrant, with the warrant allowing the purchase of an additional common share at an exercise price of CAD $0.05 for two years [1] - The company successfully closed the first tranche of the private placement, raising $645,000 by issuing 32,275,000 units, and the second tranche raised $311,409.29 through 15,570,465 units at a price of $0.02 per unit [10][11] Financial Details - The private placement may incur finders' fees of up to 8% in cash and 8% in broker warrants based on total proceeds raised [2] - The net proceeds from the private placement will be allocated for general corporate and working capital purposes [2] Company Overview - Datametrex is recognized as a leader in technology solutions, artificial intelligence, healthcare, and mobile gaming, focusing on enhancing operational efficiencies and business outcomes [4] - The company emphasizes its commitment to innovation and aims to set new standards for business protocols through advanced technology [4]