Materials Innovation Company Checkerspot Closes $13 Million Series A Led By Builders VC

BERKELEY, Calif. — April 16, 2019 — Checkerspot Inc., a materials innovation company, announced today that it has closed its Series A financing for $13 million. The round was led by Builders VC, and included Breakout Ventures, Viking Global Investors, KdT Ventures, Plug and Play Ventures, Sahsen Ventures, and Godfrey Capital, among others. Jim Kim, general partner of Builders VC, will join the board of directors.

A 2018 graduate of the Illumina Accelerator, Checkerspot’s innovation platform integrates biotechnology, chemistry and fabrication. The company’s focus to date is on two classes of materials: polyurethanes and textile finishes, each of which is derived from novel triglycerides (oils) from microalgae. Nature has evolved to produce novel molecular building blocks, like fatty acids from triglycerides, that are unexplored or underutilized in materials science. They are overlooked because many of these plant-derived materials cannot be supplied at large scale. The plants that produce them only thrive in growth conditions that are incompatible with commodity scale agriculture. Biotechnology and industrial fermentation processes enable Checkerspot to deliver these unique materials not previously accessible at commercial scale.

The company’s initial commercial progress has focused on high value consumer applications, including a performance textile wicking finish now marketed in partnership with Beyond Surface Technologies. Through other commercial relationships, the company is set to expand into other industrial verticals where performance materials can competitively differentiate products and brands. Last year, Checkerspot and DIC Corporation announced a Joint Development Agreement to create a new class of novel, high performance polyols.

“Checkerspot is differentiated in its approach by focusing on more rapidly bringing to market high value materials with unique properties presently unavailable with traditional manufacturing processes. At Builders we partner with companies that are developing real solutions to modernize antiquated industries. Checkerspot’s approach of integrating biotechnology and materials science, then demonstrating the value of rapid prototyping and applications development, is exactly that. We fully expect that Checkerspot’s platform development and expansion into a wide range of industries will usher in a new way of thinking for how product designers apply and source performance materials,” said Jim Kim of Builders VC.

“Driven by consumers, many brands recognize market demand continuing to increase for new materials and ingredients that deliver novel performance, and are also more sustainable. Suppliers to these brands are responding. We’re pleased to welcome new investors that share our conviction on how we are prioritizing our market entry points, demonstrating our capabilities and creating value quickly,” said Charles Dimmler, CEO and co-founder of Checkerspot.

“We are breaking new ground at the intersection of molecular biology and materials science, and this financing will allow us to continue to build out our existing materials and products while at the same time allow us to further expand the application of these materials across multiple industries. Fundamentally, we see microalgal triglycerides as scaffolds upon which to build entirely new classes of materials,” said Scott Franklin, CSO and co-founder of Checkerspot.

Posted April 16, 2019

Source: Checkerspot Inc.

Naia™ From Eastman Joins 10th Annual Copenhagen Fashion Summit As Supporting Sponsor

KINGSPORT, Tenn. — April 16, 2019 — Global specialty materials provider Eastman, the maker of sustainably sourced Naia™ cellulosic yarn, announces its participation in the 10th annual Copenhagen Fashion Summit, May 15-16. Naia is a supporting sponsor of the world’s leading business event on sustainability in fashion, where the brand will feature and share news about custom fabrics from partner mills. Naia is also sponsoring the Pitch Stage, where innovators will present sustainable fashion business solutions as part of Copenhagen Fashion Summit’s Innovation Forum.

“Naia gives designers a sustainable design choice with fabrics that are both beautiful and versatile,” said Ruth Farrell, Eastman global marketing director of Textiles.

At the summit, Naia will demonstrate the yarn’s texture versatility with a Naia, MicroModal and elastane blend from partner mill Wing Yue. It’s a two-tone double face knit with a super-soft hand, according to Farrell. Naia will also feature a luxurious, satin-back crepe-woven fabric made of Naia and viscose by Yilmazipek and a printed, lightweight satin-woven Naia/silk blend from Haiyan Jiayuan that renders a wholly sustainable fabric with a silk-like hand. The fourth featured fabric is made of 100 percent Naia by Nishiyama for a lightly crinkled satin weave with shine. Farrell describes it as having a “beautiful surface effect that demonstrates the luxury possible with a sustainable fabric.”

The Summit’s CEO Agenda 2019 outlines eight core priorities for fashion leaders: supply chain traceability, combating climate change, sustainable material mix, circular fashion system, efficient use of water, energy and chemicals, respectful and secure work environments, promotion for better wage system and the fourth industrial revolution.

Eastman, the creator of Naia, proves its commitment to these transformational priorities via its closed-loop production process in which safe solvents and water are recycled and reused, ensuring a low tree-to-yarn carbon and water footprint. Listed on the Higg Materials Sustainability Index, Naia has a smaller environmental impact than generic modal, triacetate, and viscose. In developing the yarn, Eastman considers the entire life cycle, from responsible sourcing to end-of-life disposal.

Made with wood sourced from sustainably managed pine and eucalyptus plantations and forests, Naia is certified as biodegradable in fresh water, having received the OK biodegradable WATER conformity mark from TÜV AUSTRIA.

Naia recently joined C.L.A.S.S. (Creativity Lifestyle And Sustainable Synergy) to support the fashion industry’s shift toward the circular economy, empowering businesses to be competitive and socially responsible.

“We continue to work with NGOs, industry partners and certifying entities to shape the future of sustainability and circularity in fashion and textiles,” said Natalia Allen, Eastman sustainability leader of Textiles.

Naia will be exhibiting at Copenhagen Fashion Summit’s Innovation Forum Studio 1 Stand No. 10.

Posted April 16, 2019

Source: Eastman

Finnish Textile Startup Infinited Fiber Co. Signs New Partnerships With H&M Group, Fortum And Virala

ESPOO, Finland — April 16, 2019 — Infinited Fiber Co. Ltd. (IFC) has raised 3.7 million euros in funding from investors, including H&M Group, Fortum and Virala. IFC is currently running a 50-ton pilot plant in Finland and plans to increase the annual capacity of the next generation sustainable textile fiber production up to 500 tons in order to meet the growing demand from the market.

“I’m very proud that we have created a technology that enables textile waste to be used over and over again by producing a strong, sustainable fiber without compromising quality and comfort. We are delighted to welcome the global fashion retailer H&M Group, as well as Fortum, a leading clean energy and resource efficiency company, and Finnish investment company Virala, to be our new partners in closing the loop for textiles,” said Petri Alava, CEO of IFC.

“We’re excited about the partnership with Infinited Fiber Company. Their innovation aligns perfectly with the H&M group’s sustainability goals and our vision to become fully circular. Infinited Fiber has proven significant potential to accelerate the journey from a linear to a circular fashion industry. We look forward to being part of developing and scaling this technology in the coming years”, said Erik Karlsson, Investment Manager for Sustainable Fashion at H&M group’s investment arm CO:LAB.

“Fortum is studying possibilities to grow business that is based on the more efficient use of biomass. We believe strongly in biorefining, new technologies and their role in a more sustainably produced textile fiber”, said Heli Antila, head of Fortum’s business focusing on bio-based solutions.

In addition to cotton rich textile waste, the Infinited Fiber manufacturing process can use most material containing cellulose, e.g. recycled paper, cardboard and agricultural waste such as straw — nevertheless the reborn fiber will be the same. Properties of the Infinited Fiber include a natural soft look and feel, consistent proven quality, 30-40-percent better color uptake than competing fibers, it’s antibacterial and bio-degradable and has excellent moisture absorption qualities. In addition, it has a total cost competitiveness in the textile production supply chain.

“A problem in the textile industry is the growing demand for cotton that simply isn’t available. We have proven that for example in denim applications, the commercial quality requirements can be reached with our Infinited Fiber. The global denim industry is pushing us to bring our solutions to the market. Our reborn Infinited Fiber is re-usable forever, carbon neutral and applicable like natural cotton without any microplastics harming the environment,” said Alava.

The business model of IFC is to license the Infinited Fiber technology for global fiber producers in textile and non-woven industries. The end-use applications include fashion, disposable personal care products (e.g. wipes, diapers, pads) and technical products (e.g. automotive filters, dairy, construction applications). The production process is protected by several patents in key market areas.

The sale of the first licensed commercial plant with a capacity of 25,000 tons is scheduled for 2020-2021. The pilot plant started up production in March 2018 and is selling solutions to several leading global brands.

Posted April 16, 2019

Source: Infinited Fiber technology (IFC)

Gerber Technology Expands Its MCT Digital Cutting System Into European Market At FESPA

TOLLAND, Conn. — April 16, 2019 — As the need for on-demand manufacturing increases across an ever-widening array of substrates, producers in the sign & graphic and packaging industries need a system that offers speed and versatility to meet every request that comes in. In order to remain competitive, companies must offer more material options and quicker turnaround times without diminishing the quality of their product.

As the most versatile digital cutting solution on the market, the Gerber MCT Cutter has all the tools, including laser, to complete the most challenging jobs for a wide range of substrates, while increasing productivity and delivering high-quality results. The innovative system allows users to control target registration, cut file editing and machine production from one, integrated user interface.

Six months after having acquired MCT Digital, Gerber is expanding its MCT digital cutting system worldwide into the sign & graphics and packaging markets. The highly-integrated system of hardware and software has won a number of accolades in the North America market.

“We are excited to bring such strong innovation in digital finishing to the European sign & graphics and packaging markets, and look to build on Gerber’s deep heritage of automated finishing and integrated production software,” said Gerber Technology’s Scott Schinlever, president and COO, Automation Solutions.

The most versatile cutting solution on the market, the Gerber MCT Cutter, is equipped with an industry-leading 100w laser for textiles and acrylics, as well as 11 interchangeable tools and the industry’s most integrated production and vision-guided software, TigerVision™.

“We went from doing everything by hand to having a giant digital worker who is very accurate and fast,” said Jonathan Merendlender, founder of Printed Ink (Huntingdon Valley, PA) who has been using a Gerber MCT Cutter since October 2018. “Aside from the obvious benefits of custom shapes, 3D lettering, and fabrication, the CNC router drastically cut down on labor and increased capacity almost instantly.”

The Gerber MCT Cutter will be making its European debut at FESPA, the largest international wide format professional printing exhibition that showcases the latest innovations for digital printing and laser cutting. To see what’s now trending for the sign and graphics industry, visitors can get a live demo of the most versatile cutting solution on the market at booth B5-E20.

Posted April 16, 2019

Source: Gerber Technology

Cone Denim Announces Next Chapter For Iconic X3 Selvage Looms

GREENSBORO, N.C. — April 16, 2019 — Cone Denim is pleased to announce it has entered into an agreement focused on bringing the American Draper X3 selvage looms from the iconic White Oak plant back into production. The agreement with local investor Will Dellinger provides for the sale of the X3 looms to Dellinger who plans to start them up for the purpose of producing denim fabric in North Carolina.

“It is exciting to see a path forward for these iconic looms that allows them to remain in North Carolina and continue the legacy of American denim,” said Cone Denim President Steve Maggard. “The denim community has been so supportive of Cone Denim and the heritage of the White Oak plant, which will forever be a part of Cone Denim.”

Maggard continued: “While we will not be involved in the operation of the looms going forward we are pleased with the prospect of them finding a new home. Will Dellinger understands the heritage and history of these looms and we appreciate his commitment to putting them back in production here in North Carolina.”

“The looms are an integral part of American textile history and I am excited by the possibilities of continuing their legacy,” says Will Dellinger. “North Carolina is rich in textile resources and expertise and I look forward to collaborating with others as we fully explore the potential of the looms and develop plans for their future start up.”

Cone Denim will also donate one of the looms to the Greensboro History Museum. The loom will remain in the Greensboro community, available to the public, in support of the city’s denim heritage. Greensboro is the headquarters for Cone Denim, and the company continues to look for opportunities to preserve and share the Cone heritage within the local community.

The American Draper X3 looms were produced by the Draper Corporation, based out of Hopedale, Massachusetts, which operated for more than 130 years. The Draper automatic looms were a significant factor in the movement of the cotton textile industry to the South. The X3 looms being sold to Dellinger date as far back as the 1940s; some were original to the White Oak plant while others were reclaimed from outside sources and restored for use at the plant.

Posted April 16, 2019

Source: Cone Denim/Elevate Textiles

Global Nonwovens Association Leaders Meet At IDEA®: Updated Definition Of Nonwovens; Coordination On Plastics Issues

CARY, N.C. — April 15, 2019 — Leaders from the global nonwoven associations held a joint strategy meeting at the IDEA® 2019 Conference, in Miami Beach, Fla., on March 26, to advance coordination on two key issues common to all: Free and fair trade in nonwovens; and the growing concern about Plastics in the Environment and the need for coordinating messaging on the issue.

“The shared vision of our association leaders is to effectively represent, protect, and actively promote common interests of nonwovens and their related industries throughout the world,” said Dave Rousse, INDA president, organizer of the meeting. “I believe our initial steps on these two current issues are a good start toward global coordination.”

The first step in advancing free and fair trade in nonwovens has been achieved with an updated and uniform nonwoven definition recently approved and published by the International Organization for Standardization (ISO) 9092:2019. The new definition establishes nonwovens without reference to “Textiles” as did the previous definition and introduces the concept of an engineered material. The new definition describes a nonwoven as an “engineered fibrous assembly, primarily planar, which has been given a designed level of structural integrity by physical and/or chemical means, excluding weaving, knitting or papermaking.”

The group agreed to encourage the adoption and use of this definition in the Harmonized Commodity description and Coding System (HS) to achieve a more relevant classification of all nonwovens and nonwoven articles in tariff classifications.

The group was presented with INDA’s overview of how growing public concern about Plastics in the Environment can impact nonwovens with some guidelines on how to manage the issue. Additionally, EDANA presented the current state of play on the European Union Single Plastics Directive and its development of Extended Producers Responsibility.

All agreed that the meeting was constructive and such coordination should be continued at future global nonwoven events. Attending this meeting were:

  • Carlos Benatto, president, Brazil Association of the Nonwovens Industries, (ABINT);
  • Dr. Hiroaki Kanai, chairman, and Hideo Tsuchiya, secretary general (deputy), Asia Nonwoven Fabrics Association (ANFA);
  • Masato Miki, vice president, All Nippon Nonwovens Association (ANNA);
  • Li Lingshen, president, and Eric Zhang, general manager, China Nonwovens and Industrial Textiles Association (CNITA);
  • Yang Xiang, general manager, China Nonwovens Technical Association (CNTA);
  • Pierre Wiertz, general manager, and Gil Stevens, External Relations & Sustainability director, European Disposables and Nonwovens Association (EDANA);
  • Socrates Ng, president and Michael Wong, secretary, Hong Kong Nonwovens Association;
  • Dave Rousse, president, and C.K. Wong, executive committee appointee, Association of Nonwoven Fabrics Industry (INDA);
  • Samir Gupta, managing director, INDIA Nonwovens Association;
  • Billy Hidjaja, chairman, Indonesia Nonwovens Association; and
  • Steven Chen, chairman, Taiwan Nonwovens Association.

Posted April 15, 2019

Source: INDA, The Association Of The Nonwoven Fabrics Industry

University Of Cincinnati Gardner Neuroscience Institute Brings Innovation In Care To Neurological Patients

CINCINNATI, Ohio — April 12, 2019 — UC Health, University of Cincinnati’s academic health system, opened the University of Cincinnati Gardner Neuroscience Institute, a major advance in healthcare architecture for patients with neurological disorders. Research suggests that dementia, epilepsy, headache disorders, multiple sclerosis, stroke, Alzheimer’s disease, Parkinson’s disease, and other neurological conditions are a growing cause of death and disability worldwide. For those patients, innovation in architecture and design — as is the case at the UC Gardner Neuroscience Institute, designed by Perkins+Will — offers the promise of improved well-being.

“The entire facility is designed with the neurologic patient in mind,” said Dr. Joseph Broderick, director of the UC Gardner Neuroscience Institute. “I don’t know of any facility like this. We would like this to be a place where people will feel it’s a home for their disease or problem, where you learn about it, get treated for it, get diagnosed, and you also interact with others.”

The new 114,000-square-foot facility brings together 125 faculty from 15 specialty areas into a new regional home for neurological care, education, and research.

For more than two years, Perkins+Will led an advisory committee with patients and families, caregivers, and doctors. The user input gained from these meetings informed the UC Gardner Neuroscience Institute’s design. It was imperative, for example, that the design accommodate the needs of patients with susceptibility to nausea, dizziness, fatigue, or movement disorders. The result is an innovative facility that responds to those needs along every step of the patient’s journey.

“You can trace every element in the planning and design to what we’ve heard (from patients, doctors, and staff),” said Jerry Johnson, Perkins+Will design principal. “The objective was to provide a place that provides state-of-the-art care and inspires joy for people in need.”

The team also drew on input from Dr. Eve Edelstein, a ‘neuro-architect’ who studied both architecture and clinical neuroscience. Edelstein is the director of a Perkins+Will research lab dedicated to design for the human experience, known as the Hx Lab.

Janis Yelton, who lives with Parkinson’s disease and served on the advisory committee, says the UC Gardner Neuroscience Institute is critical to her well-being. She is thrilled with the design. “Coming here is my future,” she said. “This is going to be a big part of my life for the rest of my life.”

Key Design Features:

  • A unique façade that prevents glare and visual disorientation: The facility’s exterior is made of a specialized polyester fiber mesh that controls light and heat, and prevents glare while allowing natural light to enter the interior. This is critical for many neurological patients, as glare can be visually disorienting. Wrapping the east, west, and south sides of the building, the angular, pleated, polyester planes, which are 10-feet wide and 3 stories tall, suggest origami, and make the building stand out on a campus known for classical and modern architecture.
  • Light-filled corridors for comfort and visibility: On the exam and clinical care floors, patients move along exterior corridors lined with windows, rather than down disorienting dark internal pathways.
  • Exam rooms that accommodate families for extra patient support: Exam rooms with wide sliding doors are grouped in flexible pods and can support specialty procedures nearby, easing patient and family access. The larger exam rooms accommodate medical teams, family, and caregivers. These floors also include MRI, infusion, and special procedure rooms.
  • Spaces that account for patients’ auditory sensitivities: Walls between exam rooms are acoustically sealed, with the gypsum board and acoustical insulation going to the structure above. Doors into exam rooms went through specialized testing to confirm they also met the same stringent sound transmissions goals to ensure minimal disruption to patients with auditory sensitivities. For patients with mood and memory disorders who seek quiet spaces with fewer stimuli, enclosed spaces are available within the main waiting areas.
  • A lobby that prevents vertigo: A large atrium can trigger vertigo, so a daylit lobby designed on a more human scale welcomes patients upon arrival.
  • A variety of spaces allows for diverse activities: The ground level includes an outdoor garden, flexible space for community, teaching, and patient activities, with an auditorium and rooms for dance therapy classes.
  • A kinder, gentler parking garage to ease the anxiety of arrivals and departures: Patients with ambulatory challenges described typical parking garages as a highly stressful, anxiety-inducing experience due to lack of light, confusing signage, echoing noise, and sloping garage floors. Every garage floor is on a flat surface, with an easy-access entrance and exit from the elevator to each of the patient floors. Windows along the north side of the garage provide daylight and help orient patients returning to their cars.
  • Accessible research space: Located between the staff and patient areas, these spaces encourage collaboration among specialists as they evaluate studies, clinical trials, and data.

Philanthropic support for the UC Gardner Neuroscience Institute came from the James J. and Joan A. Gardner Family Foundation, inspired by the late James Gardner’s wife, Joan, who lives with Parkinson’s disease.

Posted April 15, 2019

Source: Perkins+Will

Covestro Employees Susan Dadd, Katherine Hoerner And Stephanie Strazisar Receive National Women In Manufacturing Leadership Award

PITTSBURGH — April 12, 2019 — In recognition of their leadership and contributions to the manufacturing industry, Covestro LLC employees Susan Dadd, Katherine Hoerner and Stephanie Strazisar were selected as recipients of the Women in Manufacturing STEP Ahead Awards, presented by The Manufacturing Institute. The STEP Ahead Awards honor women and their achievements at all levels of the manufacturing industry — from the factory floor to the c-suite.

The Covestro awardees were among 130 women nationally to receive the honor, which is part of the larger STEP (Science, Technology, Engineering and Production) Ahead initiative. Launched in 2012, the initiative examines and promotes the role of women in the manufacturing industry through recognition, research and leadership to help attract and retain strong female talent.

“Susan, Katherine and Stephanie have impacted our business, communities and industry in countless ways, inspiring not just our own employees, but the next generation of manufacturing talent as well,” said Jerry MacCleary, chairman and CEO, Covestro LLC. “We’re incredibly proud to see their efforts highlighted at the national level, alongside other deserving leaders — all of whom reinforce the critical role that women play in shaping the future of our industry.”

Dadd is the turnaround lead for Covestro’s largest North American manufacturing site in Baytown, Texas, where she coordinates complex turnarounds to sustain long-term reliability and efficiency at the site. In 2018, she was recognized by the company for her efforts in developing an innovative process for cleaning large storage tanks, reducing time, cost and environmental impact. Her leadership also extends into the community, where Dadd generously donates her time as an active church volunteer and passionate STEM (science, technology engineering and mathematics) mentor.

As the elastomers technical manager at Covestro, Strazisar supports the polyurethane elastomers business in North America with strategic technical development — a role that involves collaborating with hundreds of customers to optimize how they use and process Covestro products. Her strong problem-solving skills have led to innovative solutions, while helping pave the way for significant new business opportunities. An active volunteer with Covestro’s i3 STEM team, Strazisar also brings hands-on science learning to Pittsburgh-area classrooms.

Hoerner, recognized as an Emerging Leader, serves as a project manager in Covestro’s Polycarbonates business unit in Baytown. She played a key role in a number of high-profile projects at the site, generating significant efficiency improvements and cost savings. Hoerner is so passionate about giving back to the community that she took on a role to help others give back, too. As secretary and treasurer for Covestro’s Outreach Council in Baytown, Hoerner coordinates and manages volunteer activities for 250-plus employees across the site.

“The Manufacturing Institute’s STEP Ahead awards — which provide today’s female leaders in manufacturing the recognition they deserve while simultaneously elevating role models that can inspire future generations to join them — are an important element of our commitment to helping foster a 21st century manufacturing workforce by developing current leaders and engaging future ones,” said Carolyn Lee, executive director of The Manufacturing Institute.

Posted April 15, 2019

Source: Covestro LLC

NanoXplore Receives 2019 Award For The Commercialization Of Graphene

MONTREAL — April 12, 2019 — NanoXplore Inc. is pleased to announce that the corporation has been recognized as the 2019 winner of the IDTechEx Graphene & 2D Materials Award for the Most Significant Advancement in Graphene, CNT, or 2D Material for Commercialization.

The award was presented at the IDTechEx Show in Berlin, Germany, by Dr. Richard Collins (Senior Technology Analyst – IDTechEx) and adjudicated by Dr. Nikolaus Nestle (BASF SE – Materials Physics and Analytics) and Ivan Buckley (Director of Business Development -Graphene@Manchester at The University of Manchester). One of the judges commented: “NanoXplore’s bold scale-up of graphene production should finally tear down the idea that graphene is just too expensive to be used as an additive in polymer composites for real-world applications”.

Soroush Nazarpour, CEO and President of NanoXplore, commented after receiving the award: “We are thrilled to be recognized by IDTechEx as a global leader in the commercialization of graphene. This award further validates our graphene technology and why we are in the process of building a 10,000 tonnes/year production facility. The construction of the facility is on time and budget, and we expect phase one of commissioning to occur during calendar Q1 of next year (2020). We are proud of everyone in our team and thank them for their diligent effort as we thrive to enable graphene to become a viable solution for high-volume commercial applications. We would also like to thank all our shareholders for supporting NanoXplore and IDTechEx for this milestone event”.

IDTechEx Show, a two-day exhibition in Berlin, Germany, presents the latest emerging technologies across multiple emerging technology sectors that include 3D Printing, Electric Vehicles, Energy Harvesting, Energy Storage, Graphene, Internet of Things, Off Grid Energy Independence, Printed Electronics, Sensors & Wearable Technology. The exhibition showcases over 200 exhibiting companies from 60 countries, many demonstrating their technologies in action.

Posted April 15, 2019

Source: NanoXplore

EFI Announces Definitive Agreement To Be Acquired By An Affiliate Of Siris Capital Group In All Cash Transaction Valued At Approximately $1.7 Billion

FREMONT, Calif. — April 15, 2019 — Electronics For Imaging Inc. (EFI™), a world supplier of customer focused digital printing innovation, today announced that it has entered into a definitive agreement to be acquired by an affiliate of Siris Capital Group LLC in an all-cash transaction valued at approximately $1.7 billion. Siris is a private equity firm focused on investing and driving value creation in technology companies that provide mission-critical solutions and are facing technology transitions.

Under the terms of the agreement, which has been unanimously approved by EFI’s board of directors, an affiliate of Siris will acquire all the outstanding common stock of EFI for $37.00 per share in cash. The purchase price represents an approximately 45% premium over EFI’s 90-day volume-weighted average price ended on April 12, 2019.

EFI may solicit alternative acquisition proposals from third parties during a “go-shop” period over the next 45 calendar days. EFI will have the right to terminate the agreement to enter into a superior proposal subject to the terms and conditions of the agreement. There is no guarantee that this process will result in a superior proposal, and the agreement provides Siris with a customary right to attempt to match a superior proposal.  EFI does not intend to disclose developments with respect to the solicitation process unless and until it determines such disclosure is appropriate or is otherwise required.

“We believe this transaction delivers superior and immediate value to our shareholders while providing us with a partner that can add strategic and operational expertise to our business,” said Bill Muir, CEO, EFI. “We are excited to partner with Siris’ highly experienced team on this next phase of growth for EFI.”

Commenting on the transaction, Frank Baker, a Siris cofounder and managing partner, said: “EFI is at the forefront of the digital transition in the imaging and print industry, underpinned by a strong software heritage and culture of innovation. We believe that, by partnering with Siris, EFI will be well positioned to capture this transformational opportunity associated with increased digital inkjet penetration, industrial automation and software enablement. We are eager to partner with management to help the company achieve its strategic objectives.”

Commenting on the transaction, Al Zollar, a Siris executive partner, said: “EFI has a 30-year legacy of leadership in the digital imaging market, with strong brand equity and a rich history of pioneering innovative solutions for its customers. The company’s portfolio of mission-critical products and services are united by a common thread of impressive technological enablement and software integration. I look forward to supporting EFI’s strong team to help the company anticipate evolving customer needs and drive new opportunities for innovation and growth.”

EFI’s Board of Directors has unanimously recommended that its shareholders adopt the agreement with Siris. Subject to the go-shop, a special meeting of EFI’s shareholders will be held as soon as practicable following the filing of the definitive proxy statement with the U.S. Securities and Exchange Commission (“SEC”) and subsequent mailing to shareholders.

Subject to the go-shop, the proposed transaction is expected to close by the third quarter of 2019 and is subject to approval by EFI’s shareholders, along with the satisfaction of customary closing conditions including antitrust regulatory approvals. The transaction is not subject to any financing conditions. Upon completion of the acquisition, EFI will become wholly owned by an affiliate of Siris.

EFI will file its quarterly report on Form 10-Q reporting its first quarter financial results but does not intend to host a quarterly earnings call.  EFI currently expects Q1 2019 revenue to be between $220 million and $225 million.

Financing & Advisors

Equity financing will be provided by investment funds affiliated with Siris. Siris secured committed debt financing for the transaction from RBC Capital Markets, KKR Capital Markets LLC, Deutsche Bank Securities Inc., Barclays, Credit Suisse, and Macquarie Capital.

Sidley Austin LLP is serving as corporate counsel, Kirkland & Ellis LLP is serving as financing counsel, and RBC Capital Markets is serving as M&A advisor to Siris in connection with the transaction. Morgan Stanley & Co. and Greenhill & Co. LLC are serving as financial advisors to EFI, and O’Melveny & Myers is serving as its legal counsel.

For further information regarding the terms and conditions contained in the definitive merger agreement, please see EFI’s Current Report on Form 8-K, which will be filed in connection with this transaction.

Posted April 15, 2019

Source: EFI™

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