|
Delaware
(State or other jurisdiction of incorporation or organization) |
| |
3559
(Primary Standard Industrial Classification Code Number) |
| |
83-2044042
(I.R.S. Employer Identification No.) |
|
|
Large accelerated filer
☐
|
| |
Accelerated filer
☐
|
|
|
Non-accelerated filer
☒
|
| |
Smaller reporting company
☒
|
|
| | | |
Emerging growth company
☒
|
|
| | |||||||||||||||||||||||||
Title of Each Class of Securities to Be Registered
|
| | |
Amount
to be Registered(1)(2) |
| | |
Proposed
Maximum Offering Price Per Share(3) |
| | |
Proposed
Maximum Aggregate Offering Price(3) |
| | |
Amount of
Registration Fee(3) |
| |||||||||
Class A common stock, par value $0.0001 per share
|
| | |
223,625,130
|
| | | | $ | 26.75 | | | | | | $ | 5,980,854,102 | | | | | | $ | 652,512 | | |
| | |
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| | | | F-1 | | |
| | |
Year Ended
December 31, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||
(in thousands, except per share amounts)
|
| |
2019
|
| |
2018
|
| |
2020
|
| |
2019
|
| ||||||||||||
Statement of Operations Data: | | | | | | | | | | | | | | | | | | | | | | | | | |
Total revenues
|
| | | $ | 26,439 | | | | | $ | 1,034 | | | | | $ | 8,101 | | | | | $ | 20,876 | | |
Total costs
|
| | | | 135,484 | | | | | | 124,647 | | | | | | 73,870 | | | | | | 101,358 | | |
Loss from operations
|
| | | | (109,045) | | | | | | (123,613) | | | | | | (65,769) | | | | | | (80,482) | | |
Other expenses: | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest expense
|
| | | | (503) | | | | | | (261) | | | | | | (253) | | | | | | (389) | | |
Interest and other income, net
|
| | | | 5,952 | | | | | | 2,535 | | | | | | 995 | | | | | | 5,102 | | |
Loss before income taxes
|
| | | | (103,596) | | | | | | (121,339) | | | | | | (65,027) | | | | | | (75,769) | | |
Provision for income taxes
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Net loss
|
| | | $ | (103,596) | | | | | $ | (121,339) | | | | | $ | (65,027) | | | | | $ | (75,769) | | |
Net loss per share – basic and diluted
|
| | | $ | (4.43) | | | | | $ | (7.36) | | | | | $ | (2.21) | | | | | $ | (3.38) | | |
|
| | |
Year Ended
December 31, |
| |
As of
September 30, 2020 |
| ||||||||||||
(in thousands)
|
| |
2019
|
| |
2018
|
| ||||||||||||
Balance Sheet Data: | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | | $ | 66,161 | | | | | $ | 29,043 | | | | | $ | 37,356 | | |
Working capital, net
|
| | | | 145,089 | | | | | | 82,638 | | | | | | 76,930 | | |
Adjusted working capital (excluding cash)
|
| | | | 78,928 | | | | | | 53,595 | | | | | | 39,574 | | |
Total assets
|
| | | | 192,711 | | | | | | 128,938 | | | | | | 127,298 | | |
Total debt
|
| | | | 9,972 | | | | | | 9,953 | | | | | | 9,986 | | |
Convertible preferred stock
|
| | | | 436,533 | | | | | | 276,889 | | | | | | 436,533 | | |
Total stockholders’ deficit
|
| | | | (277,462) | | | | | | (184,569) | | | | | | (338,027) | | |
| | |
Year Ended
December 31, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||
(in thousands)
|
| |
2019
|
| |
2018
|
| |
2020
|
| |
2019
|
| ||||||||||||
Statement of Cash Flow Data: | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash used in operating activities
|
| | | $ | (97,202) | | | | | $ | (111,002) | | | | | $ | (58,927) | | | | | $ | (74,540) | | |
Net cash (used in) provided by investing activities
|
| | | | (26,032) | | | | | | 39,007 | | | | | | 30,267 | | | | | | (48,685) | | |
Net cash provided by (used in) financing activities
|
| | | | 160,352 | | | | | | 45,426 | | | | | | (145) | | | | | | 160,250 | | |
(in thousands, except for value per share)
|
| | | | | | |
Total shares transferred at Closing(a)
|
| | | | 183,000 | | |
Value per share(b)
|
| | | $ | 10.00 | | |
Total Share Consideration
|
| | | $ | 1,830,000 | | |
in thousands
|
| |
Shares
Outstanding |
| |
%
|
| ||||||
Trine Public Shareholders
|
| | | | 29,989 | | | | | | 13.3% | | |
Trine Founders(A)
|
| | | | 5,553 | | | | | | 2.5% | | |
Trine Independent Directors
|
| | | | 100 | | | | | | 0.0% | | |
Total Trine
|
| | | | 35,642 | | | | | | 15.8% | | |
Legacy Desktop Metal(B)
|
| | | | 161,715 | | | | | | 72.0% | | |
PIPE Shares
|
| | | | 27,498 | | | | | | 12.2% | | |
Total Shares at Closing (excluding unvested Legacy Desktop Metal and earn out shares)
|
| | | | 224,855 | | | | | | 100% | | |
Legacy Desktop Metal – Remaining Consideration Shares(B)
|
| | | | 21,285 | | | | | | | | |
Other – Earn Out Shares(A)
|
| | | | 1,851 | | | | | | | | |
Total Shares at Closing (including unvested Legacy Desktop Metal and earn out shares)
|
| | | | 247,991 | | | | | | | | |
| | |
As of
September 30, 2020 |
| |
Transaction
Accounting Adjustments |
| | | | | | | |
As of
September 30, 2020 |
| |||||||||||||||
| | |
Trine
(Historical) (US GAAP) |
| |
Legacy
Desktop Metal (Historical) (US GAAP) |
| |
Pro Forma
Combined |
| |||||||||||||||||||||
ASSETS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | | $ | 88 | | | | | $ | 37,356 | | | | | $ | 305,350 | | | | |
|
(A)
|
| | | | $ | 566,731 | | |
| | | | | | | | | | | | | | | | | (10,130) | | | | |
|
(B)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (40,681) | | | | |
|
(B)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 274,975 | | | | |
|
(C)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 215 | | | | |
|
(D)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (140) | | | | |
|
(M)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (265) | | | | |
|
(N)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (37) | | | | |
|
(E)
|
| | | | | | | |
Short-term investments
|
| | | | — | | | | | | 53,180 | | | | | | | | | | | | | | | | | | 53,180 | | |
Accounts receivable, net
|
| | | | — | | | | | | 1,642 | | | | | | | | | | | | | | | | | | 1,642 | | |
Inventory
|
| | | | — | | | | | | 10,363 | | | | | | | | | | | | | | | | | | 10,363 | | |
Prepaid expenses and other current
assets |
| | | | 81 | | | | | | 806 | | | | | | 243 | | | | |
|
(F)
|
| | | | | 1,130 | | |
Prepaid income taxes
|
| | | | 243 | | | | | | — | | | | | | (243) | | | | |
|
(F)
|
| | | | | — | | |
Total current assets
|
| | | | 412 | | | | | | 103,347 | | | | | | 529,287 | | | | | | | | | | | | 633,046 | | |
Restricted cash
|
| | | | — | | | | | | 612 | | | | | | | | | | | | | | | | | | 612 | | |
Property and equipment – net
|
| | | | — | | | | | | 13,601 | | | | | | | | | | | | | | | | | | 13,601 | | |
Capitalized software, net
|
| | | | — | | | | | | 357 | | | | | | | | | | | | | | | | | | 357 | | |
Right-of-use assets
|
| | | | — | | | | | | 1,935 | | | | | | | | | | | | | | | | | | 1,935 | | |
Security deposit
|
| | | | 24 | | | | | | — | | | | | | | | | | | | | | | | | | 24 | | |
Goodwill
|
| | | | — | | | | | | 2,252 | | | | | | | | | | | | | | | | | | 2,252 | | |
Acquired technology, net
|
| | | | — | | | | | | 2,453 | | | | | | | | | | | | | | | | | | 2,453 | | |
Deferred transaction costs
|
| | | | — | | | | | | 2,741 | | | | | | (2,741) | | | | |
|
(B)
|
| | | | | — | | |
Marketable securities held in Trust
Account |
| | | | 305,410 | | | | | | — | | | | | | (305,350) | | | | |
|
(A)
|
| | | | | — | | |
| | | | | | | | | | | | | | | | | (60) | | | | |
|
(E)
|
| | | | | | | |
Total assets
|
| | | $ | 305,846 | | | | | $ | 127,298 | | | | | $ | 221,136 | | | | | | | | | | | $ | 654,280 | | |
|
| | |
As of
September 30, 2020 |
| |
Transaction
Accounting Adjustments |
| | | | | | | |
As of
September 30, 2020 |
| |||||||||||||||
| | |
Trine
(Historical) (US GAAP) |
| |
Legacy
Desktop Metal (Historical) (US GAAP) |
| |
Pro Forma
Combined |
| |||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Accounts payable
|
| | | | — | | | | | | 6,604 | | | | | | 3 | | | | |
|
(F)
|
| | | | | 3,360 | | |
| | | | | | | | | | | | | | | | | (1) | | | | |
|
(E)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (3,246) | | | | |
|
(B)
|
| | | | | | | |
Accounts payable and accrued expenses
|
| | | | 2,676 | | | | | | — | | | | | | (2,676) | | | | |
|
(F)
|
| | | | | — | | |
Customer deposits
|
| | | | — | | | | | | 1,778 | | | | | | | | | | | | | | | | | | 1,778 | | |
Convertible promissory note – related
party |
| | | | 1,285 | | | | | | — | | | | | | 215 | | | | |
|
(D)
|
| | | | | — | | |
| | | | | | | | | | | | | | | | | (1,500) | | | | |
|
(D)
|
| | | | | | | |
Current portion of operating lease
liability |
| | | | — | | | | | | 858 | | | | | | | | | | | | | | | | | | 858 | | |
Accrued expenses and other current
liabilities |
| | | | — | | | | | | 6,055 | | | | | | 2,673 | | | | |
|
(F)
|
| | | | | 5,563 | | |
| | | | | | | | | | | | | | | | | (2,788) | | | | |
|
(B)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (96) | | | | |
|
(E)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (281) | | | | |
|
(G)
|
| | | | | | | |
Deferred revenue
|
| | | | | | | | | | 1,136 | | | | | | | | | | | | | | | | | | 1,136 | | |
Current portion of long-term debt, net of deferred financing costs
|
| | | | — | | | | | | 9,986 | | | | | | | | | | | | | | | | | | 9,986 | | |
Total current liabilities
|
| | | | 3,961 | | | | | | 26,417 | | | | | | (7,697) | | | | | | | | | | | | 22,681 | | |
Lease liability, net of current portion
|
| | | | — | | | | | | 2,375 | | | | | | | | | | | | | | | | | | 2,375 | | |
Deferred underwriting fee payable
|
| | | | 10,505 | | | | | | — | | | | | | (10,505) | | | | |
|
(B)
|
| | | | | — | | |
Total liabilities
|
| | | | 14,466 | | | | | | 28,792 | | | | | | (18,202) | | | | | | | | | | | | 25,056 | | |
Commitments and Contingences | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Common stock subject to possible
redemption |
| | | | 286,380 | | | | | | — | | | | | | (286,380) | | | | |
|
(H)
|
| | | | | — | | |
Convertible Preferred Stock
|
| | | | — | | | | | | 436,533 | | | | | | (436,533) | | | | |
|
(I)
|
| | | | | — | | |
Stockholders’ Equity | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Common Stock
|
| | | | — | | | | | | 3 | | | | | | (3) | | | | |
|
(I)
|
| | | | | — | | |
Class A Common Stock (includes unvested
328,910 shares of restricted stock) |
| | | | — | | | | | | — | | | | | | 3 | | | | |
|
(H)
|
| | | | | 22 | | |
| | | | | | | | | | | | | | | | | 16 | | | | |
|
(I)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 3 | | | | |
|
(C)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 1 | | | | |
|
(J)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (1) | | | | |
|
(J)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | — | | | | |
|
(N)
|
| | | | | | | |
Class B Common Stock
|
| | | | 1 | | | | | | — | | | | | | (1) | | | | |
|
(J)
|
| | | | | — | | |
Additional paid in capital
|
| | | | 5,215 | | | | | | 21,254 | | | | | | 286,377 | | | | |
|
(H)
|
| | | | | 995,751 | | |
| | | | | | | | | | | | | | | | | 274,972 | | | | |
|
(C)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (29,828) | | | | |
|
(B)
|
| | | | | | | |
| | |
As of
September 30, 2020 |
| |
Transaction
Accounting Adjustments |
| | | | | | | |
As of
September 30, 2020 |
| |||||||||||||||
| | |
Trine
(Historical) (US GAAP) |
| |
Legacy
Desktop Metal (Historical) (US GAAP) |
| |
Pro Forma
Combined |
| |||||||||||||||||||||
| | | | | | | | | | | | | | | | | 436,520 | | | | |
|
(I)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (216) | | | | |
|
(K)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 1 | | | | |
|
(J)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 221 | | | | |
|
(L)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 1,500 | | | | |
|
(D)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (265) | | | | |
|
(N)
|
| | | | | | | |
Retained earnings (deficit)
|
| | | | (216) | | | | | | (359,289) | | | | | | (7,185) | | | | |
|
(B)
|
| | | | | (366,554) | | |
| | | | | | | | | | | | | | | | | 281 | | | | |
|
(G)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | 216 | | | | |
|
(K)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (221) | | | | |
|
(L)
|
| | | | | | | |
| | | | | | | | | | | | | | | | | (140) | | | | |
|
(M)
|
| | | | | | | |
Accumulated other comprehensive gain
|
| | | | — | | | | | | 5 | | | | | | | | | | | | | | | | | | 5 | | |
Total Stockholders’ Equity
|
| | | | 5,000 | | | | | | (338,027) | | | | | | 962,251 | | | | | | | | | | | | 629,224 | | |
Total Liabilities, Convertible Preferred
Stock and Stockholders’ Equity |
| | | $ | 305,846 | | | | | $ | 127,298 | | | | | $ | 221,136 | | | | | | | | | | | $ | 654,280 | | |
|
| | |
For the Nine Months
Ended September 30, 2020 |
| |
Transaction
Accounting Adjustments |
| | | | | | | |
For the Nine
Months Ended September 30, 2020 |
| |||||||||||||||
| | |
Trine
(Historical) (US GAAP) |
| |
Legacy
Desktop Metal (Historical) (US GAAP) |
| |
Pro Forma
Combined |
| |||||||||||||||||||||
Revenue
|
| | | $ | — | | | | | $ | 8,101 | | | | | | | | | | | | | | | | | $ | 8,101 | | |
Cost of sales
|
| | | | — | | | | | | 21,510 | | | | | | | | | | | | | | | | | | 21,510 | | |
Gross Margin
|
| | | | — | | | | | | (13,409) | | | | | | — | | | | | | | | | | | | (13,409) | | |
Operating costs
|
| | | | 4,048 | | | | | | — | | | | | | (315) | | | | |
|
(AA)
|
| | | | | 3,733 | | |
Research and development
|
| | | | — | | | | | | 31,362 | | | | | | | | | | | | | | | | | | 31,362 | | |
Sales and marketing
|
| | | | — | | | | | | 9,994 | | | | | | | | | | | | | | | | | | 9,994 | | |
General and administration
|
| | | | — | | | | | | 11,004 | | | | | | | | | | | | | | | | | | 11,004 | | |
Total operating expenses
|
| | | | 4,048 | | | | | | 52,360 | | | | | | (315) | | | | | | | | | | | | 56,093 | | |
Loss from operations
|
| | | | (4,048) | | | | | | (65,769) | | | | | | 315 | | | | | | | | | | | | (69,502) | | |
Interest expense
|
| | | | — | | | | | | (253) | | | | | | | | | | | | | | | | | | (253) | | |
Interest and other income, net
|
| | | | — | | | | | | 995 | | | | | | | | | | | | | | | | | | 995 | | |
Interest income
|
| | | | 1,110 | | | | | | — | | | | | | (1,110) | | | | |
|
(BB)
|
| | | | | — | | |
Income (loss) before income taxes
|
| | | | (2,938) | | | | | | (65,027) | | | | | | (795) | | | | | | | | | | | | (68,760) | | |
Provision for income taxes
|
| | | | 36 | | | | | | — | | | | | | (36) | | | | |
|
(CC)
|
| | | | | — | | |
Net Income (loss)
|
| | | $ | (2,902) | | | | | $ | (65,027) | | | | | $ | (831) | | | | | | | | | | | $ | (68,760) | | |
Basic and diluted net loss per common
share |
| | | $ | (0.42) | | | | | | | | | | | | | | | | | | | | | | | $ | (0.31) | | |
Weighted average shares outstanding, basic and diluted
|
| | | | 9,054,242 | | | | | | | | | | | | | | | | | | | | | | | | 224,525,194 | | |
| | |
For the Year
Ended December 31, 2019 |
| |
Transaction
Accounting Adjustments |
| | | | | | | |
For the Year
Ended December 31, 2019 |
| |||||||||||||||
| | |
Trine
(Historical) (US GAAP) |
| |
Legacy
Desktop Metal (Historical) (US GAAP) |
| |
Pro Forma
Combined |
| |||||||||||||||||||||
Revenue
|
| | | $ | — | | | | | $ | 26,439 | | | | | | | | | | | | | | | | | $ | 26,439 | | |
Cost of sales
|
| | | | — | | | | | | 50,796 | | | | | | | | | | | | | | | | | | 50,796 | | |
Gross Margin
|
| | | | — | | | | | | (24,357) | | | | | | — | | | | | | | | | | | | (24,357) | | |
Operating costs
|
| | | | 1,857 | | | | | | — | | | | | | (333) | | | | |
|
(AA)
|
| | | | | 1,524 | | |
Research and development
|
| | | | — | | | | | | 54,656 | | | | | | | | | | | | | | | | | | 54,656 | | |
Sales and marketing
|
| | | | — | | | | | | 18,749 | | | | | | | | | | | | | | | | | | 18,749 | | |
General and administration
|
| | | | — | | | | | | 11,283 | | | | | | | | | | | | | | | | | | 11,283 | | |
Total operating expenses
|
| | | | 1,857 | | | | | | 84,688 | | | | | | (333) | | | | | | | | | | | | 86,212 | | |
Loss from operations
|
| | | | (1,857) | | | | | | (109,045) | | | | | | 333 | | | | | | | | | | | | (110,569) | | |
Interest expense
|
| | | | — | | | | | | (503) | | | | | | | | | | | | | | | | | | (503) | | |
Interest and other income, net
|
| | | | — | | | | | | 5,952 | | | | | | — | | | | | | | | | | | | 5,952 | | |
Interest income
|
| | | | 5,142 | | | | | | — | | | | | | (5,142) | | | | |
|
(BB)
|
| | | | | — | | |
Unrealized gain on marketable securities
held in Trust Account |
| | | | 170 | | | | | | — | | | | | | (170) | | | | |
|
(BB)
|
| | | | | — | | |
Income (loss) before income taxes
|
| | | | 3,455 | | | | | | (103,596) | | | | | | (4,979) | | | | | | | | | | | | (105,120) | | |
Provision for income taxes
|
| | | | (726) | | | | | | — | | | | | | 726 | | | | |
|
(CC)
|
| | | | | — | | |
Net Income (loss)
|
| | | $ | 2,729 | | | | | $ | (103,596) | | | | | $ | (4,253) | | | | | | | | | | | $ | (105,120) | | |
Basic and diluted net loss per common
share |
| | | $ | (0.18) | | | | | | | | | | | | | | | | | | | | | | | $ | (0.47) | | |
Weighted average shares outstanding, basic and diluted
|
| | | | 8,348,930 | | | | | | | | | | | | | | | | | | | | | | | | 224,525,194 | | |
(in thousands, except share and per share data)
|
| |
Nine Months Ended
September 30, 2020 |
| |
Year Ended
December 31, 2019 |
| ||||||
Pro forma net loss
|
| | | $ | (68,760) | | | | | $ | (105,120) | | |
Pro forma weighted average shares outstanding – basic and diluted
|
| | | | 224,525,194 | | | | | | 224,525,194 | | |
Pro forma net loss per share – basic and diluted
|
| | | $ | (0.31) | | | | | $ | (0.47) | | |
Pro forma weighted average shares outstanding – basic and diluted
|
| | | | | | | | | | | | |
Trine Public Shareholders
|
| | | | 29,988,951 | | | | | | 29,988,951 | | |
Trine Founders
|
| | | | 5,552,813 | | | | | | 5,552,813 | | |
Trine Independent Directors
|
| | | | 100,000 | | | | | | 100,000 | | |
Total Trine
|
| | | | 35,641,764 | | | | | | 35,641,764 | | |
Legacy Desktop Metal(1)
|
| | | | 161,385,931 | | | | | | 161,385,931 | | |
PIPE share holders
|
| | | | 27,497,500 | | | | | | 27,497,500 | | |
Pro forma weighted average shares outstanding – basic and diluted(2)
|
| | |
|
224,525,194
|
| | | |
|
224,525,194
|
| |
| | |
As of September 30, 2020
|
| | | | | | | | | | |
As of September 30, 2020
|
| ||||||||||||
| | |
Desktop Metal, Trine
Pro Forma Combined (Historical) (US GAAP) |
| |
EnvisionTEC
(Historical) (US GAAP |
| |
Transaction
Accounting Adjustments |
| |
(Note 4
References) |
| |
Pro Forma Combined
|
| ||||||||||||
ASSETS | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Current Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | | $ | 566,731 | | | | | $ | 24,987 | | | | | $ | (150,000) | | | |
A
|
| | | $ | 441,718 | | |
Short-term investments
|
| | | | 53,180 | | | | | | — | | | | | | — | | | | | | | | | 53,180 | | |
Accounts receivable, net of allowance for doubtful accounts $1.3 million
|
| | | | 1,642 | | | | | | 5,480 | | | | | | — | | | | | | | | | 7,122 | | |
Inventory
|
| | | | 10,363 | | | | | | 8,973 | | | | | | — | | | | | | | | | 19,336 | | |
Prepaid expenses and other current assets
|
| | | | 1,130 | | | | | | 1,083 | | | | | | — | | | | | | | | | 2,213 | | |
Total current assets
|
| | | | 633,046 | | | | | | 40,523 | | | | | | (150,000) | | | | | | | | | 523,569 | | |
Restricted cash
|
| | | | 612 | | | | | | — | | | | | | — | | | | | | | | | 612 | | |
Property, plant and equipment, net
|
| | | | 13,601 | | | | | | 1,676 | | | | | | — | | | | | | | | | 15,277 | | |
Related party loan receivable
|
| | | | — | | | | | | 1,980 | | | | | | — | | | | | | | | | 1,980 | | |
Capitalized software,
net |
| | | | 357 | | | | | | — | | | | | | — | | | | | | | | | 357 | | |
Right-of-use assets
|
| | | | 1,935 | | | | | | — | | | | | | 911 | | | |
G
|
| | | | 2,846 | | |
Security deposit
|
| | | | 24 | | | | | | | | | | | | | | | | | | | | | 24 | | |
Goodwill
|
| | | | 2,252 | | | | | | — | | | | | | 145,898 | | | |
A
|
| | | | 148,150 | | |
Intangible assets, net
|
| | | | 2,453 | | | | | | 557 | | | | | | 123,043 | | | |
C
|
| | | | 126,053 | | |
Deferred transaction costs
|
| | | | — | | | | | | — | | | | | | — | | | | | | | | | — | | |
Total Assets
|
| | | $ | 654,280 | | | | | $ | 44,736 | | | | | $ | 119,852 | | | | | | | | $ | 818,868 | | |
LIABILITIES, CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ EQUITY
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Current Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Accounts Payable
|
| | | $ | 3,360 | | | | | $ | 1,580 | | | | | $ | — | | | | | | | | $ | 4,940 | | |
Customer deposits
|
| | | | 1,778 | | | | | | — | | | | | | — | | | | | | | | | 1,778 | | |
Current portion of operating lease
liability |
| | | | 858 | | | | | | — | | | | | | 505 | | | |
G
|
| | | | 1,363 | | |
Accrued expenses and other current
liabilities |
| | | | 5,563 | | | | | | 2,943 | | | | | | 10,287 | | | |
F
|
| | | | 18,793 | | |
Deferred revenue
|
| | | | 1,136 | | | | | | 2,042 | | | | | | (379) | | | |
H, I
|
| | | | 2,799 | | |
Current portion of long-term
debt, net of deferred financing costs |
| | | | 9,986 | | | | | | 200 | | | | | | (200) | | | |
D
|
| | | | 9,986 | | |
Total current liabilities
|
| | | | 22,681 | | | | | | 6,765 | | | | | | 10,213 | | | | | | | | | 39,659 | | |
| | |
As of September 30, 2020
|
| | | | | | | | | | |
As of September 30, 2020
|
| ||||||||||||
| | |
Desktop Metal, Trine
Pro Forma Combined (Historical) (US GAAP) |
| |
EnvisionTEC
(Historical) (US GAAP |
| |
Transaction
Accounting Adjustments |
| |
(Note 4
References) |
| |
Pro Forma Combined
|
| ||||||||||||
Long-term debt, net of deferred financing costs
|
| | | | — | | | | | | 1,176 | | | | | | — | | | | | | | | | 1,176 | | |
Deferred tax liability
|
| | | | — | | | | | | — | | | | | | 5,936 | | | |
E
|
| | | | 5,936 | | |
Lease liability, net of current portion
|
| | | | 2,375 | | | | | | — | | | | | | 406 | | | |
G
|
| | | | 2,781 | | |
Total liabilities
|
| | | | 25,056 | | | | | | 7,941 | | | | | | 16,555 | | | | | | | | | 49,552 | | |
Commitments and contingencies
|
| | | | — | | | | | | — | | | | | | — | | | | | | | | | — | | |
Convertible Preferred Stock
|
| | | | — | | | | | | — | | | | | | — | | | | | | | | | — | | |
Shareholders’ Equity
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Common Stock
|
| | | | — | | | | | | 443 | | | | | | (443) | | | |
B
|
| | | | — | | |
Class A Common Stock (includes unvested 328,910 shares of restricted stock)
|
| | | | 22 | | | | | | — | | | | | | — | | | | | | | | | 22 | | |
Additional paid-in capital
|
| | | | 995,751 | | | | | | — | | | | | | 150,000 | | | |
A
|
| | | | 1,145,751 | | |
Accumulated deficit
|
| | | | (366,554) | | | | | | 38,588 | | | | | | (48,496) | | | |
B, F, H, I
|
| | | | (376,462) | | |
Accumulated other comprehensive income
|
| | | | 5 | | | | | | (2,236) | | | | | | 2,236 | | | |
B
|
| | | | 5 | | |
Total Stockholders’ Equity
|
| | | | 629,224 | | | | | | 36,795 | | | | | | 103,297 | | | | | | | | | 769,316 | | |
Total Liabilities, Convertible Preferred Stock and Stockholders’ Equity
|
| | | $ | 654,280 | | | | | $ | 44,736 | | | | | $ | 119,852 | | | | | | | | $ | 818,868 | | |
|
| | |
For the Year
Ended December 31, 2019 |
| | | | | | | | | | |
For the Year Ended
December 31, 2019 |
| ||||||||||||
| | |
Desktop Metal,
Trine Pro Forma Combined (Historical) (US GAAP) |
| |
EnvisionTEC
(Historical) (US GAAP |
| |
Transaction
Accounting Adjustments |
| |
(Note
References) |
| |
Pro Forma
Combined |
| ||||||||||||
Revenues | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Products
|
| | | $ | 22,758 | | | | | $ | 34,582 | | | | | $ | (330) | | | |
4(a)
|
| | | $ | 57,010 | | |
Services
|
| | | | 3,681 | | | | | | — | | | | | | — | | | | | | | | | 3,681 | | |
Total revenues
|
| | | $ | 26,439 | | | | | $ | 34,582 | | | | | $ | (330) | | | | | | | | $ | 60,691 | | |
Cost of sales | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Products
|
| | | | 45,268 | | | | | | 20,825 | | | | | | 4,569 | | | |
4(b)
|
| | | | 70,662 | | |
Services
|
| | | | 5,528 | | | | | | — | | | | | | — | | | | | | | | | 5,528 | | |
Total cost of sales
|
| | | | 50,796 | | | | | | 20,825 | | | | | | 4,569 | | | | | | | | | 76,190 | | |
Gross margin
|
| | | | (24,357) | | | | | | 13,757 | | | | | | (4,899) | | | | | | | | | (15,499) | | |
Operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Research and development
|
| | | | 54,656 | | | | | | 4,755 | | | | | | 4,520 | | | |
4(b)
|
| | | | 63,931 | | |
Sales and marketing
|
| | | | 18,749 | | | | | | 5,005 | | | | | | 4,296 | | | |
4(b),4(c)
|
| | | | 28,050 | | |
General and administrative
|
| | | | 12,807 | | | | | | 4,834 | | | | | | 10,903 | | | |
4(b),4(d)
|
| | | | 28,544 | | |
Total Operating Expenses
|
| | | | 86,212 | | | | | | 14,594 | | | | | | 19,719 | | | | | | | | | 120,525 | | |
Profit/(Loss) from Operations
|
| | | | (110,569) | | | | | | (837) | | | | | | (24,618) | | | | | | | | | (136,024) | | |
Interest expense
|
| | | | (503) | | | | | | — | | | | | | — | | | | | | | | | (503) | | |
Interest and other income, net
|
| | | | 5,952 | | | | | | 302 | | | | | | — | | | | | | | | | 6,254 | | |
Profit/(Loss) before income taxes
|
| | | $ | (105,120) | | | | | $ | (535) | | | | | $ | (24,618) | | | | | | | | $ | (130,273) | | |
Provision for income taxes
|
| | | | — | | | | | | (22) | | | | | | 1,191 | | | |
4(e)
|
| | | | 1,169 | | |
Net Profit/(Loss)
|
| | | $ | (105,120) | | | | | $ | (557) | | | | | $ | (23,427) | | | | | | | | $ | (129,104) | | |
Shares used to compute earnings per share – basic and diluted
|
| | | | 23,379 | | | | | $ | — | | | | | | 8,038 | | | |
5
|
| | | | 31,417 | | |
Net Loss per share – basic and diluted
|
| | | $ | (4.50) | | | | | $ | — | | | | | $ | — | | | | | | | | $ | (4.11) | | |
Other Comprehensive Profit/Loss | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Unrealized gain on available-for-sale marketable securities
|
| | | | 171 | | | | | | — | | | | | | — | | | | | | | | | 171 | | |
Foreign currency translation
|
| | | | — | | | | | | (879) | | | | | | — | | | | | | | | | (879) | | |
Total Comprehensive Profit/Loss, net of taxes
|
| | | $ | (104,949) | | | | | $ | (1,436) | | | | | $ | (23,427) | | | | | | | | $ | (129,812) | | |
| | |
For the Nine Months Ended
September 30, 2020 |
| | | | | | | | | | |
For the Nine Months Ended
September 30, 2020 |
| ||||||||||||
| | |
Desktop Metal,
Trine Pro Forma Combined (Historical) (US GAAP) |
| |
EnvisionTEC
(Historical) (US GAAP |
| |
Transaction
Accounting Adjustments |
| |
(Note
References) |
| |
Pro Forma
Combined |
| ||||||||||||
Revenues | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Products
|
| | | $ | 6,113 | | | | | $ | 32,611 | | | | | $ | (202) | | | |
4(a)
|
| | | $ | 38,522 | | |
Services
|
| | | | 1,988 | | | | | | — | | | | | | — | | | | | | | | | 1,988 | | |
Total revenues
|
| | | $ | 8,101 | | | | | $ | 32,611 | | | | | $ | (202) | | | | | | | | $ | 40,510 | | |
Cost of sales | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Products
|
| | | | 18,145 | | | | | | 13,557 | | | | | | 3,427 | | | |
4(b)
|
| | | | 35,129 | | |
Services
|
| | | | 3,365 | | | | | | — | | | | | | — | | | | | | | | | 3,365 | | |
Total cost of sales
|
| | | | 21,510 | | | | | | 13,557 | | | | | | 3,427 | | | | | | | | | 38,494 | | |
Gross margin
|
| | | | (13,409) | | | | | | 19,054 | | | | | | (3,629) | | | | | | | | | 2,016 | | |
Operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Research and development
|
| | | | 31,362 | | | | | | 3,186 | | | | | | 3,390 | | | |
4(b)
|
| | | | 37,938 | | |
Sales and marketing
|
| | | | 9,994 | | | | | | 1,253 | | | | | | 3,240 | | | |
4(b),4(c)
|
| | | | 14,487 | | |
General and administrative
|
| | | | 14,737 | | | | | | 4,636 | | | | | | 461 | | | |
4(b)
|
| | | | 19,834 | | |
Total Operating Expenses
|
| | | | 56,093 | | | | | | 9,075 | | | | | | 7,091 | | | | | | | | | 72,259 | | |
Profit/(Loss) from Operations
|
| | | | (69,502) | | | | | | 9,979 | | | | | | (10,720) | | | | | | | | | (70,243) | | |
Interest expense
|
| | | | (253) | | | | | | — | | | | | | — | | | | | | | | | (253) | | |
Interest and other income, net
|
| | | | 995 | | | | | | 511 | | | | | | — | | | | | | | | | 1,506 | | |
Profit/(Loss) before income taxes
|
| | | $ | (68,760) | | | | | $ | 10,490 | | | | | $ | (10,720) | | | | | | | | $ | (68,990) | | |
Provision for income taxes
|
| | | | — | | | | | | (420) | | | | | | 519 | | | |
4(e)
|
| | | | 99 | | |
Net Profit/(Loss)
|
| | | $ | (68,760) | | | | | $ | 10,070 | | | | | $ | (10,201) | | | | | | | | $ | (68,891) | | |
Shares used to compute earnings per
share – basic and diluted |
| | | | 29,457 | | | | | | — | | | | | | 8,038 | | | |
5
|
| | | | 37,495 | | |
Net Loss per share – basic and diluted
|
| | | $ | (2.33) | | | | | $ | — | | | | | $ | — | | | | | | | | $ | (1.84) | | |
Other Comprehensive Profit/Loss, net of taxes
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Unrealized gain on available-for-sale marketable securities
|
| | | | (70) | | | | | | — | | | | | | — | | | | | | | | | (70) | | |
Foreign currency translation
|
| | | | — | | | | | | 1,348 | | | | | | — | | | | | | | | | 1,348 | | |
Total Comprehensive Profit/Loss, net of taxes
|
| | | $ | (68,830) | | | | | $ | 11,418 | | | | | $ | (10,201) | | | | | | | | $ | (67,613) | | |
Amount
(In thousands) |
| |
Presentation in Trine’s
Financial Statements |
| |
Presentation in Unaudited Pro Forma
Condensed Combined Financial Information |
| | ||
$243 | | | Prepaid income taxes | | | Prepaid expenses and other current assets | | | | |
3 | | | Accounts payable and accrued expenses | | | Accounts payable | | | | |
2,673 | | | Accounts payable and accrued expenses | | | Accrued expenses and other current | | | | |
Amount
(In thousands) |
| |
Presentation in Trine’s
Financial Statements |
| |
Presentation in Unaudited Pro Forma
Condensed Combined Financial Information |
| | | |
$1,857 | | | Operating costs | | | General and administration | | | | |
5,142 | | | Interest income | | | Interest and other income, net | | | | |
170 | | | Unrealized gain on marketable securities held in | | | Interest and other income, net | | | | |
Amount
(In thousands) |
| |
Presentation in Trine’s
Financial Statements |
| |
Presentation in Unaudited Pro Forma
Condensed Combined Financial Information |
| | | |
$4,048 | | | Operating costs | | | General and administration | | | | |
1,110 | | | Interest income | | | Interest and other income, net | | | | |
Amount
(In thousands) |
| |
Presentation in EnvisionTEC’s
Financial Statements |
| |
Presentation in Unaudited Pro Forma
Condensed Combined Financial Information |
|
$200 | | | Related party loan | | | Other Current Loans | |
Amount
(In thousands) |
| |
Presentation in EnvisionTEC’s
Financial Statements |
| |
Presentation in Unaudited Pro Forma
Condensed Combined Financial Information |
|
$5,005 | | | Selling, general and administrative | | | Sales and marketing | |
4,834 | | | Selling, general and administrative | | | General and administrative | |
302 | | | Other income | | | Interest and other income, net | |
Amount
(In thousands) |
| |
Presentation in EnvisionTEC’s
Financial Statements |
| |
Presentation in Unaudited Pro Forma
Condensed Combined Financial Information |
|
$1,253 | | | Selling, general and administrative | | | Sales and marketing | |
4,636 | | | Selling, general and administrative | | | General and administrative | |
511 | | | Other income | | | Interest and other income, net | |
| | |
September 30, 2020
|
| |||
Cash consideration
|
| | | $ | 150,000 | | |
Issuance of Desktop Metal shares
|
| | | | 150,000 | | |
Total purchase price
|
| | | $ | 300,000 | | |
| | | | | | | | |
September 30, 2020
|
| | | | |||
Net book value of net assets acquired
|
| | | | | | | | | $ | 36,795 | | | | ||
Adjustments to:
|
| | | | | | | | | | | | | | ||
Intangible assets
|
| | |
|
C
|
| | | | | 123,043 | | | | ||
Deferred tax
|
| | |
|
E
|
| | | | | (5,936) | | | | ||
Extinguishment of related party loan
|
| | |
|
D
|
| | | | | 200 | | | | ||
Goodwill
|
| | | | | | | | | | 145,898 | | | | ||
Total estimated consideration
|
| | | | | | | | | $ | 300,000 | | | |
Description
|
| |
Estimated Useful
Life |
| |
Estimated
Fair Value |
| |
Balance Sheet
Classification |
| ||||||
Customer relationships
|
| | | | 10 | | | | | $ | 42,500 | | | |
Intangible assets, net
|
|
Acquired technology
|
| | | | 8 | | | | | | 73,100 | | | |
Intangible assets, net
|
|
Trade name
|
| | | | 13 | | | | | | 8,000 | | | |
Intangible assets, net
|
|
Total identifiable intangible assets
|
| | | | | | | | | | 123,600 | | | | | |
Historical EnvisionTEC acquired technology
|
| | | | | | | | | | 557 | | | | | |
Pro forma adjustment
|
| | | | | | | | | $ | 123,043 | | | | | |
| | |
Nine Months Ended
|
| |
Year Ended
|
| ||||||
(in thousands, except share and per share data)
|
| |
September 30, 2020
|
| |
December 31, 2019
|
| ||||||
Pro forma net loss
|
| | | $ | (68,891) | | | | | $ | (129,104) | | |
Pro forma weighted average shares outstanding – basic and diluted
|
| | | | 37,495 | | | | | | 31,417 | | |
Pro forma EPS – basic and diluted
|
| | | $ | (1.84) | | | | | $ | (4.11) | | |
| | |
September 30, 2020
|
| |
Flux +25%
|
| |
Flux -25%
|
| |||||||||
Common shares outstanding at September 30, 2020
|
| | | | 29,457 | | | | | | 29,457 | | | | | | 29,457 | | |
Average share price for conversion of Desktop Metal shares for consideration
|
| | | $ | 18.66 | | | | | $ | 23.33 | | | | | $ | 14.00 | | |
Estimated shares issued for purchase consideration
|
| | | | 8,038 | | | | | | 6,431 | | | | | | 10,718 | | |
Common Shares Outstanding
|
| | | | 37,495 | | | | | | 35,888 | | | | | | 40,175 | | |
| | |
For the Nine Months Ended September 30,
|
| | | | | | | | | | | | | |||||||||||||||||||||
| | |
2020
|
| |
2019
|
| |
Change in Revenues
|
| |||||||||||||||||||||||||||
(Dollars in thousands)
|
| |
Revenue
|
| |
% of Total
|
| |
Revenue
|
| |
% of Total
|
| |
$
|
| |
%
|
| ||||||||||||||||||
Product Revenue
|
| | | $ | 6,113 | | | | | | 75% | | | | | $ | 18,655 | | | | | | 89% | | | | | $ | (12,542) | | | | | | (67)% | | |
Service Revenue
|
| | | | 1,988 | | | | | | 25% | | | | | | 2,221 | | | | | | 11% | | | | | | (233) | | | | | | (10)% | | |
Total Revenue
|
| | | $ | 8,101 | | | | | | 100% | | | | | $ | 20,876 | | | | | | 100% | | | | | $ | (12,775) | | | | | | (61)% | | |
| | |
For the Nine Months Ended September 30,
|
| | | | | | | | | | | | | |||||||||||||||||||||
| | |
2020
|
| |
2019
|
| |
Change in Revenues
|
| |||||||||||||||||||||||||||
(Dollars in thousands)
|
| |
Revenue
|
| |
% of Total
|
| |
Revenue
|
| |
% of Total
|
| |
$
|
| |
%
|
| ||||||||||||||||||
Americas
|
| | | $ | 3,334 | | | | | | 41% | | | | | $ | 13,412 | | | | | | 64% | | | | | $ | (10,078) | | | | | | (74)% | | |
EMEA (Europe, the Middle East and Africa)
|
| | | | 3,299 | | | | | | 41% | | | | | | 6,250 | | | | | | 30% | | | | | | (2,951) | | | | | | (47)% | | |
APAC (Asia-Pacific)
|
| | | | 1,468 | | | | | | 18% | | | | | | 1,214 | | | | | | 6% | | | | | | 254 | | | | | | 21% | | |
Total Revenue
|
| | | $ | 8,101 | | | | | | 100% | | | | | $ | 20,876 | | | | | | 100% | | | | | $ | (12,775) | | | | | | (61)% | | |
| | |
For the Nine
Months Ended September 30, |
| |
Change in Gross
Profit |
| ||||||||||||||||||
| | ||||||||||||||||||||||||
| | |
2020
|
| |
2019
|
| ||||||||||||||||||
(Dollars in thousands)
|
| |
Gross Profit (Loss)
|
| |
$
|
| |
%
|
| |||||||||||||||
Products
|
| | | $ | (12,032) | | | | | $ | (16,563) | | | | | $ | 4,531 | | | | | | 27% | | |
Services
|
| | | | (1,377) | | | | | | (1,079) | | | | | | (298) | | | | | | (28)% | | |
Total | | | | $ | (13,409) | | | | | $ | (17,642) | | | | | $ | 4,233 | | | | | | 24% | | |
| | |
For the Nine
Months Ended September 30, |
| |
Change in Gross
Margin |
| ||||||||||||||||||
| | ||||||||||||||||||||||||
| | |
2020
|
| |
2019
|
| | | | | | | | | | | | | ||||||
| | |
Gross Margin
|
| |
Percentage
Points |
| |
%
|
| |||||||||||||||
Products
|
| | | | (197)% | | | | | | (89)% | | | | | | (1.08) | | | | | | (121.69)% | | |
Services
|
| | | | (69)% | | | | | | (49)% | | | | | | (0.21) | | | | | | (42.58)% | | |
Total | | | | | (166)% | | | | | | (85)% | | | | | | (0.81) | | | | | | (95.87)% | | |
| | |
For the Years Ended December 31,
|
| | | | | | | | | | | | | |||||||||||||||||||||
| | |
2019
|
| |
2018
|
| |
Change in Revenues
|
| |||||||||||||||||||||||||||
(Dollars in thousands)
|
| |
Revenue
|
| |
% of Total
|
| |
Revenue
|
| |
% of Total
|
| |
$
|
| |
%
|
| ||||||||||||||||||
Product Revenue
|
| | | $ | 22,758 | | | | | | 86% | | | | | $ | 751 | | | | | | 73% | | | | | $ | 22,007 | | | | | | 2,931% | | |
Service Revenue
|
| | | | 3,681 | | | | | | 14% | | | | | | 283 | | | | | | 27% | | | | | | 3,398 | | | | | | 1,201% | | |
Total Revenue
|
| | | $ | 26,439 | | | | | | 100% | | | | | $ | 1,034 | | | | | | 100% | | | | | $ | 25,405 | | | | | | 2,457% | | |
| | |
For the Years Ended December 31,
|
| | | | | | | | | | | | | |||||||||||||||||||||
| | |
2019
|
| |
2018
|
| |
Change in Revenues
|
| |||||||||||||||||||||||||||
(Dollars in thousands)
|
| |
Revenue
|
| |
% of Total
|
| |
Revenue
|
| |
% of Total
|
| |
$
|
| |
%
|
| ||||||||||||||||||
Americas
|
| | | $ | 15,801 | | | | | | 60% | | | | | $ | 1,034 | | | | | | 100% | | | | | $ | 14,767 | | | | | | 1,428% | | |
EMEA
|
| | | | 8,993 | | | | | | 34% | | | | | | — | | | | | | 0% | | | | | | 8,993 | | | | | | — | | |
APAC
|
| | | | 1,645 | | | | | | 6% | | | | | | — | | | | | | 0% | | | | | | 1,645 | | | | | | — | | |
Total Revenue
|
| | | $ | 26,439 | | | | | | 100% | | | | | $ | 1,034 | | | | | | | | | | | $ | 25,405 | | | | | | 2,457% | | |
| | |
For the
Years Ended December 31, |
| |
Change in Gross
Profit |
| ||||||||||||||||||
| | |
2019
|
| |
2018
|
| ||||||||||||||||||
(Dollars in thousands)
|
| |
Gross Profit (Loss)
|
| |
$
|
| |
%
|
| |||||||||||||||
Products
|
| | | $ | (22,510) | | | | | $ | (3,821) | | | | | $ | (18,689) | | | | | | (489)% | | |
Services
|
| | | | (1,847) | | | | | | (613) | | | | | | (1,234) | | | | | | (201) | | |
Total | | | | $ | (24,357) | | | | | $ | (4,434) | | | | | $ | (19,923) | | | | | | (449)% | | |
| | | | |
Change in Gross
Margin |
| |||||||||||||||||||
| | |
2019
|
| |
2018
|
| ||||||||||||||||||
| | |
Gross Margin
|
| |
Percentage
Points |
| |
%
|
| |||||||||||||||
Products
|
| | | | (99)% | | | | | | (509)% | | | | | | 4.10 | | | | | | 81% | | |
Services
|
| | | | (50)% | | | | | | (217)% | | | | | | 1.67 | | | | | | 77% | | |
Total | | | | | (92)% | | | | | | (429)% | | | | | | 3.37 | | | | | | 79% | | |
| | |
For the Nine Months Ended
September 30, |
| |
For the Years Ended
December 31, |
| ||||||||||||||||||
(Dollars in thousands)
|
| |
2020
|
| |
2019
|
| |
2019
|
| |
2018
|
| ||||||||||||
Net loss attributable to common stockholders
|
| | | $ | (65,027) | | | | | $ | (75,769) | | | | | $ | (103,596) | | | | | $ | (121,339) | | |
Interest (income) expense, net
|
| | | | (651) | | | | | | (3,284) | | | | | | (3,993) | | | | | | (2,340) | | |
Income tax expense (benefit)
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Depreciation and amortization
|
| | | | 6,525 | | | | | | 5,754 | | | | | | 8,087 | | | | | | 4,204 | | |
EBITDA | | | | | (59,153) | | | | | | (73,299) | | | | | | (99,502) | | | | | | (119,475) | | |
Stock compensation expense
|
| | | | 4,228 | | | | | | 3,430 | | | | | | 5,215 | | | | | | 2,965 | | |
Adjusted EBITDA
|
| | | $ | (54,925) | | | | | $ | (69,869) | | | | | $ | (94,287) | | | | | $ | (116,510) | | |
| | |
For the Nine Months
Ended September 30, |
| |
For the Years Ended
December 31, |
| ||||||||||||||||||
(Dollars in thousands)
|
| |
2020
|
| |
2019
|
| |
2019
|
| |
2018
|
| ||||||||||||
Net cash used in operating activities
|
| | | $ | (58,927) | | | | | $ | (74,540) | | | | | $ | (97,202) | | | | | $ | (111,002) | | |
Net cash provided by (used in) investing
activities |
| | | | 30,267 | | | | | | (48,685) | | | | | | (26,032) | | | | | | 39,007 | | |
Net cash provided by (used in) financing
activities |
| | | | (145) | | | | | | 160,250 | | | | | | 160,352 | | | | | | 45,426 | | |
Net change in cash, cash equivalents, and restricted cash
|
| | | $ | (28,805) | | | | | $ | 37,025 | | | | | $ | 37,118 | | | | | $ | (26,569) | | |
Grant Date
|
| |
Number of
Share Options Granted |
| |
Weighted-
Average Exercise Price per Share |
| |
Weighted-
Average Estimated Fair Value per Share of Common Stock |
| |
Weighted-
Average Estimated Fair Value per Share of Options |
| ||||||||||||
February 27, 2018
|
| | | | 976,200 | | | | | $ | 3.00 | | | | | $ | 3.00 | | | | | $ | 1.59 | | |
May 11, 2018
|
| | | | 589,925 | | | | | $ | 3.00 | | | | | $ | 3.00 | | | | | $ | 1.59 | | |
September 7, 2018
|
| | | | 221,600 | | | | | $ | 3.39 | | | | | $ | 3.39 | | | | | $ | 1.79 | | |
November 13, 2018
|
| | | | 227,000 | | | | | $ | 3.39 | | | | | $ | 3.39 | | | | | $ | 1.82 | | |
March 1, 2019
|
| | | | 1,273,495 | | | | | $ | 4.08 | | | | | $ | 4.08 | | | | | $ | 2.15 | | |
May 8, 2019
|
| | | | 931,415 | | | | | $ | 4.08 | | | | | $ | 4.08 | | | | | $ | 2.14 | | |
September 18, 2019
|
| | | | 592,115 | | | | | $ | 4.08 | | | | | $ | 4.08 | | | | | $ | 2.08 | | |
November 13, 2019
|
| | | | 574,800 | | | | | $ | 4.08 | | | | | $ | 4.08 | | | | | $ | 2.08 | | |
March 12, 2020
|
| | | | 387,829 | | | | | $ | 4.08 | | | | | $ | 4.08 | | | | | $ | 2.01 | | |
June 11, 2020
|
| | | | 3,419,763 | | | | | $ | 1.71 | | | | | $ | 1.71 | | | | | $ | 0.86 | | |
July 14, 2020
|
| | | | 2,528,052 | | | | | $ | 1.71 | | | | | $ | 9.75 | | | | | $ | 8.39 | | |
August 5, 2020
|
| | | | 584,500 | | | | | $ | 1.71 | | | | | $ | 9.75 | | | | | $ | 8.27 | | |
Name
|
| |
Age
|
| |
Position
|
|
Executive Officers: | | | | ||||
Ric Fulop | | |
46
|
| |
Chief Executive Officer, Chairman and Director
|
|
Steve Billow | | |
53
|
| | President | |
Elizabeth Linardos | | |
48
|
| | Chief Financial Officer and Treasurer | |
Meg Broderick | | |
52
|
| | General Counsel and Secretary | |
Ilya Mirman | | |
51
|
| | Chief Marketing Officer | |
Jonah Myerberg | | |
44
|
| | Chief Technology Officer | |
Non-Employee Directors: | | | | | | | |
Scott Dussault | | |
49
|
| | Director | |
Dayna Grayson | | |
43
|
| | Director | |
Leo Hindery, Jr. | | |
73
|
| | Director | |
Wen Hsieh | | |
47
|
| | Director | |
Jeff Immelt | | |
64
|
| | Director | |
Byron Knight | | |
43
|
| | Director | |
Stephen Nigro | | |
61
|
| | Director | |
Steve Papa | | |
48
|
| | Director | |
Andy Wheeler | | |
42
|
| | Director | |
Bilal Zuberi | | |
44
|
| | Director | |
Name and Principal Position
|
| |
Year
|
| |
Salary
($) |
| |
Option
Awards ($)(1) |
| |
Non-Equity
Incentive Plan Compensation ($)(2) |
| |
All Other
Compensation ($)(3) |
| |
Total
($) |
| ||||||||||||||||||
Ric Fulop
|
| | | | 2020 | | | | | | 332,500 | | | | | | — | | | | | | 150,000 | | | | | | 508 | | | | | | 483,008 | | |
Chief Executive Officer
|
| | | | 2019 | | | | | | 350,000 | | | | | | — | | | | | | — | | | | | | 540 | | | | | | 350,540 | | |
Elizabeth Linardos
|
| | | | 2020 | | | | | | 247,841 | | | | | | 3,635,366 | | | | | | 40,000 | | | | | | 355 | | | | | | 3,923,562 | | |
Chief Financial Officer
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Steve Billow
|
| | | | 2020 | | | | | | 308,750 | | | | | | 2,596,476 | | | | | | 150,000 | | | | | | 714 | | | | | | 3,055,941 | | |
President
|
| | | | 2019 | | | | | | 263,541 | | | | | | 2,163,700 | | | | | | — | | | | | | 600 | | | | | | 2,427,841 | | |
| | | | | | | | |
Option Awards
|
| |||||||||||||||||||||||||||
Name and Principal Position
|
| |
Vesting
Commencement Date |
| |
Number of
Securities Underlying Unexercised Options (#) Exercisable |
| |
Number Of
Securities Underlying Unexercised Options (#) Unexercisable |
| |
Equity
Incentive Plan Awards: Number Of Securities Underlying Unexercised Unearned Options (#) |
| |
Option
Exercise Price ($) |
| |
Option
Expiration Date |
| ||||||||||||||||||
Elizabeth Linardos
|
| | | | 12/01/2017 | | | | | | 121,740 | | | | | | — | | | | | | — | | | | | | 2.46 | | | | | | 11/30/2027 | | |
Chief Financial Officer
|
| | | | 05/08/2019 | | | | | | 4,324 | | | | | | — | | | | | | — | | | | | | 3.34 | | | | | | 05/07/2029 | | |
| | | | | 06/11/2020 | | | | | | 15,265 | | | | | | 15,265(1) | | | | | | — | | | | | | 1.40 | | | | | | 06/10/2030 | | |
| | | | | 07/17/2020 | | | | | | 256,456 | | | | | | 256,456(1) | | | | | | — | | | | | | 1.40 | | | | | | 07/16/2030 | | |
| | | | | 09/01/2020(4) | | | | | | 27,668 | | | | | | 27,668(1) | | | | | | — | | | | | | 1.40 | | | | | | 11/30/2027 | | |
| | | | | 09/01/2020(4) | | | | | | 3,944 | | | | | | 3,944(1) | | | | | | — | | | | | | 1.40 | | | | | | 05/07/2029 | | |
Steve Billow
|
| | | | 03/01/2019 | | | | | | 457,957 | | | | | | — | | | | | | — | | | | | | 3.34 | | | | | | 02/28/2029 | | |
President
|
| | | | 06/11/2020 | | | | | | — | | | | | | 457,956(2) | | | | | | 152,652(3) | | | | | | 1.40 | | | | | | 06/10/2030 | | |
| | | | | 09/01/2020(4) | | | | | | — | | | | | | 763,261(2) | | | | | | — | | | | | | 1.40 | | | | | | 02/28/2029 | | |
Name
|
| |
Fees Earned
or Paid in Cash ($) |
| |
Stock Awards
($)(1) |
| |
Option
Awards ($)(1) |
| |
All Other
Compensation ($)(2) |
| |
Total ($)
|
| |||||||||||||||
Scott Dussault
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Dayna Grayson
|
| | | | — | | | | | | — | | | | | | 413,590 | | | | | | — | | | | | | 413,590 | | |
Leo Hindery, Jr.
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Wen Hsieh
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Jeff Immelt
|
| | | | — | | | | | | — | | | | | | 348,345 | | | | | | — | | | | | | 348,345 | | |
Byron Knight
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Stephen Nigro
|
| | | | — | | | | | | 487,259 | | | | | | — | | | | | | 40,935 | | | | | | 528,194 | | |
Steve Papa
|
| | | | — | | | | | | — | | | | | | 413,590 | | | | | | — | | | | | | 413,590 | | |
Andy Wheeler
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Bilal Zuberi
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Name
|
| |
Options
Outstanding at Fiscal Year End |
| |
Unvested
Restricted Shares Outstanding at Fiscal Year End |
| ||||||
Scott Dussault
|
| | | | — | | | | | | — | | |
Dayna Grayson
|
| | | | 61,060 | | | | | | — | | |
Leo Hindery, Jr.
|
| | | | — | | | | | | — | | |
Wen Hsieh
|
| | | | — | | | | | | — | | |
Jeff Immelt
|
| | | | 390,789 | | | | | | — | | |
Byron Knight
|
| | | | — | | | | | | — | | |
Stephen Nigro
|
| | | | — | | | | | | 61,060 | | |
Steve Papa
|
| | | | 61,060 | | | | | | — | | |
Andy Wheeler
|
| | | | — | | | | | | — | | |
Bilal Zuberi
|
| | | | — | | | | | | — | | |
Name
|
| |
Shares of
Series D Preferred Stock |
| |
Total
Purchase Price |
| ||||||
GV 2017, L.P.(1)
|
| | | | 1,751,190 | | | | | $ | 14,999,993 | | |
Jeffrey Immelt(2)
|
| | | | 11,674 | | | | | $ | 99,995 | | |
KPCB Holdings, Inc., as nominee(3)
|
| | | | 233,492 | | | | | $ | 1,999,999 | | |
Lux Ventures IV, L.P.(4)
|
| | | | 1,167,460 | | | | | $ | 9,999,995 | | |
New Enterprise Associates 15, L.P.(5)
|
| | | | 2,336,291 | | | | | $ | 20,011,734 | | |
The Northern Trust Company(6)
|
| | | | 8,172,222 | | | | | $ | 69,999,985 | | |
Total | | | | | 13,672,329 | | | | | $ | 117,111,701 | | |
Name
|
| |
Shares of
Series E Preferred Stock |
| |
Total
Purchase Price |
| ||||||
KDT Desktop Metal Holdings, LLC(1)
|
| | | | 7,484,209 | | | | | $ | 75,000,007 | | |
KPCB Holdings, Inc., as nominee(2)
|
| | | | 99,790 | | | | | $ | 1,000,006 | | |
Lux Co-Invest Opportunities, L.P.(3)
|
| | | | 1,496,842 | | | | | $ | 15,000,003 | | |
New Enterprise Associates 15, L.P.(4)
|
| | | | 1,496,842 | | | | | $ | 15,000,003 | | |
The Northern Trust Company(5)
|
| | | | 997,894 | | | | | $ | 9,999,996 | | |
Total | | | | | 11,575,577 | | | | | $ | 116,000,015 | | |
Name
|
| |
Shares of
Series E-1 Preferred Stock |
| |
Total
Purchase Price |
| ||||||
GV 2019, L.P.(1)
|
| | | | 2,494,737 | | | | | $ | 25,000,008.95 | | |
| | |
Shares Beneficially Owned
|
| |||||||||
Name of Beneficial Owner
|
| |
Number of Shares of
Class A Common Stock Beneficially Owned |
| |
Percentage Ownership
of Outstanding Class A Common Stock |
| ||||||
5% or Greater Stockholders | | | | | | | | | | | | | |
Entities affiliated with New Enterprise Associates(1)
|
| | | | 28,416,088 | | | | | | 12.53% | | |
Entities affiliated with Lux Ventures(2)
|
| | | | 18,651,974 | | | | | | 8.23% | | |
KPCB Holdings, Inc., as nominee(3)
|
| | | | 17,856,665 | | | | | | 7.88% | | |
Entities affiliated with Google Ventures(4)
|
| | | | 14,302,438 | | | | | | 6.31% | | |
Named Executive Officers and Directors | | | | | | | | | | | | | |
Ric Fulop(5)
|
| | | | 21,981,930 | | | | | | 9.70% | | |
Steve Billow(6)
|
| | | | 457,956 | | | | | | * | | |
Elizabeth Linardos(7)
|
| | | | 429,397 | | | | | | * | | |
Scott Dussault
|
| | | | — | | | | | | — | | |
Dayna Grayson
|
| | | | — | | | | | | — | | |
Leo Hindery, Jr.(8)
|
| | | | 17,406,750 | | | | | | 7.35% | | |
Wen Hsieh(3)
|
| | | | 17,856,665 | | | | | | 7.88% | | |
Jeff Immelt(9)
|
| | | | 259,075 | | | | | | * | | |
Byron Knight
|
| | | | — | | | | | | — | | |
Stephen Nigro
|
| | | | — | | | | | | — | | |
Steve Papa
|
| | | | — | | | | | | — | | |
Andy Wheeler
|
| | | | — | | | | | | — | | |
Bilal Zuberi
|
| | | | — | | | | | | — | | |
All executive officers and directors as a group (16 persons)(10)
|
| | | | 61,386,251 | | | | | | 25.74% | | |
| | |
Shares Beneficially Owned
Prior to Offering |
| |
Number of Shares
Being Offered |
| |
Shares Beneficially Owned
After the Offering |
| |||||||||||||||||||||
Name of Selling Stockholder
|
| |
Number
|
| |
Percentage
|
| | | | | | | |
Number
|
| |
Percentage
|
| ||||||||||||
40 North Ventures LP(1)
|
| | | | 2,483,140 | | | | | | 1.10% | | | | | | 2,483,140 | | | | | | — | | | | | | —% | | |
Abbas F. Zuaiter
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
Ali El-Siblani(2)
|
| | | | 12,500,000 | | | | | | 5.23% | | | | | | 12,500,000 | | | | | | — | | | | | | — | | |
Alyeska Master Fund 3, LP(3)
|
| | | | 7,175 | | | | | | * | | | | | | 4,000 | | | | | | 3,175 | | | | | | * | | |
Alyeska Master Fund, LP(3)
|
| | | | 892,825 | | | | | | * | | | | | | 496,000 | | | | | | 396,825 | | | | | | * | | |
Andrew H. Palmer
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Banque Pictet & Cie S.A. acting as nominee on behalf of clients(4)
|
| | | | 300,000 | | | | | | * | | | | | | 300,000 | | | | | | — | | | | | | — | | |
BAR Holdings, LLC(5)
|
| | | | 200,000 | | | | | | * | | | | | | 200,000 | | | | | | — | | | | | | — | | |
Baron Growth Fund(6)
|
| | | | 1,275,000 | | | | | | * | | | | | | 1,275,000 | | | | | | — | | | | | | — | | |
| | |
Shares Beneficially Owned
Prior to Offering |
| |
Number of Shares
Being Offered |
| |
Shares Beneficially Owned
After the Offering |
| |||||||||||||||||||||
Name of Selling Stockholder
|
| |
Number
|
| |
Percentage
|
| | | | | | | |
Number
|
| |
Percentage
|
| ||||||||||||
Baron Opportunity Fund(6)
|
| | | | 500,000 | | | | | | * | | | | | | 500,000 | | | | | | — | | | | | | — | | |
Best View Enterprises Limited(7)
|
| | | | 200,000 | | | | | | * | | | | | | 200,000 | | | | | | — | | | | | | — | | |
Blue Ridge Private Holdings, LLC(8)
|
| | | | 1,000,000 | | | | | | * | | | | | | 1,000,000 | | | | | | — | | | | | | — | | |
Bluebird Trust(9)
|
| | | | 628,927 | | | | | | * | | | | | | 628,927 | | | | | | — | | | | | | — | | |
BMW i Ventures SCS SICAV-RAIF(10)
|
| | | | 356,946 | | | | | | * | | | | | | 356,946 | | | | | | — | | | | | | — | | |
Brian L. Spector 2004 Revocable Trust
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
Brian White
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
Carmichael Roberts
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
ChaChaCha 2019 Trust DTD 9/20/2019
|
| | | | 1,000,000 | | | | | | * | | | | | | 1,000,000 | | | | | | — | | | | | | — | | |
Charles Clarvit
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
CRA Fund II LLC(11)
|
| | | | 175,000 | | | | | | * | | | | | | 175,000 | | | | | | — | | | | | | — | | |
Crashfund, LLC(12) | | | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Crocker Mountain LLC(13)
|
| | | | 50,000 | | | | | | * | | | | | | 50,000 | | | | | | — | | | | | | — | | |
D.E. Shaw Oculus Portfolios, L.L.C.(14)
|
| | | | 268,750 | | | | | | * | | | | | | 268,750 | | | | | | — | | | | | | — | | |
D.E. Shaw Valence Portfolios, L.L.C.(14)
|
| | | | 806,250 | | | | | | * | | | | | | 806,250 | | | | | | — | | | | | | — | | |
Daniel Wagner
|
| | | | 27,399 | | | | | | * | | | | | | 27,399 | | | | | | — | | | | | | — | | |
Data Collective III, L.P.(15)
|
| | | | 811,114 | | | | | | * | | | | | | 811,114 | | | | | | — | | | | | | — | | |
DCVC Opportunity Fund II, L.P.(16)
|
| | | | 777,623 | | | | | | * | | | | | | 777,623 | | | | | | — | | | | | | — | | |
Devery Doleman
|
| | | | 207,055 | | | | | | * | | | | | | 207,055 | | | | | | — | | | | | | — | | |
Dowe Ventures LLC(17)
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
Dyal Capital Partners IV (B) LP(18)
|
| | | | 750,000 | | | | | | * | | | | | | 750,000 | | | | | | — | | | | | | — | | |
Elizabeth Hitchcock
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Emes PE, LLC(19)
|
| | | | 500,000 | | | | | | * | | | | | | 500,000 | | | | | | — | | | | | | — | | |
Entrepreneur America Mentors, LLC(20)
|
| | | | 1,436,657 | | | | | | * | | | | | | 1,436,657 | | | | | | — | | | | | | — | | |
Ford Motor Company(21)
|
| | | | 4,277,172 | | | | | | 1.89% | | | | | | 4,277,172 | | | | | | — | | | | | | — | | |
Founder Collective Entrepreneurs’ Fund II, L.P.(22)
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Founder Collective II, L.P.(22)
|
| | | | 514,829 | | | | | | * | | | | | | 514,829 | | | | | | — | | | | | | — | | |
Founding Pillar Fund, LLC(23)
|
| | | | 3,050 | | | | | | * | | | | | | 3,050 | | | | | | — | | | | | | — | | |
FTF Diversified Holdings, LP(24)
|
| | | | 200,000 | | | | | | * | | | | | | 200,000 | | | | | | — | | | | | | — | | |
Gabriel Wagner
|
| | | | 27,399 | | | | | | * | | | | | | 27,399 | | | | | | — | | | | | | — | | |
GAFLP II, Ltd.(25) | | | | | 50,000 | | | | | | * | | | | | | 50,000 | | | | | | — | | | | | | — | | |
Greek Associates(26)
|
| | | | 300,000 | | | | | | * | | | | | | 300,000 | | | | | | — | | | | | | — | | |
GRIDS Ventures Fund II LTD(27)
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
GV 2016, L.P.(28)
|
| | | | 8,923,643 | | | | | | 3.94% | | | | | | 8,923,643 | | | | | | — | | | | | | — | | |
GV 2017, L.P.(28)
|
| | | | 2,332,177 | | | | | | 1.03% | | | | | | 2,332,177 | | | | | | — | | | | | | — | | |
GV 2019, L.P.(28)
|
| | | | 3,046,618 | | | | | | 1.34% | | | | | | 3,046,618 | | | | | | — | | | | | | — | | |
Helen Frances Liang
|
| | | | 50,000 | | | | | | * | | | | | | 50,000 | | | | | | — | | | | | | — | | |
Highbridge Capital Management, LLC
as the trading Manager for Highbridge Tactical Credit Master Fund, LP(29) |
| | | | 2,178,076 | | | | | | * | | | | | | 850,000 | | | | | | 1,328,076 | | | | | | * | | |
Home Technology Ventures I, LLC(30)
|
| | | | 642,091 | | | | | | * | | | | | | 642,091 | | | | | | — | | | | | | — | | |
HPS Investment Partners, LLC(31)
|
| | | | 8,529,308 | | | | | | 3.76% | | | | | | 8,529,308 | | | | | | — | | | | | | — | | |
HPS Partners Holdings II, LLC(31)
|
| | | | 200,000 | | | | | | * | | | | | | 200,000 | | | | | | — | | | | | | — | | |
Hubbard Street Ventures LLC(32)
|
| | | | 50,000 | | | | | | * | | | | | | 50,000 | | | | | | — | | | | | | — | | |
| | |
Shares Beneficially Owned
Prior to Offering |
| |
Number of Shares
Being Offered |
| |
Shares Beneficially Owned
After the Offering |
| |||||||||||||||||||||
Name of Selling Stockholder
|
| |
Number
|
| |
Percentage
|
| | | | | | | |
Number
|
| |
Percentage
|
| ||||||||||||
InvestCo 777, LLC (33)
|
| | | | 400,000 | | | | | | * | | | | | | 400,000 | | | | | | — | | | | | | — | | |
James Goldstein
|
| | | | 10,000 | | | | | | * | | | | | | 10,000 | | | | | | — | | | | | | — | | |
James P. Rosenfield 1995 Trust
|
| | | | 50,000 | | | | | | * | | | | | | 50,000 | | | | | | — | | | | | | — | | |
Jeff Fagnan
|
| | | | 28,602 | | | | | | * | | | | | | 28,602 | | | | | | — | | | | | | — | | |
Jeffrey Brian Straubel
|
| | | | 1,000,000 | | | | | | * | | | | | | 1,000,000 | | | | | | — | | | | | | — | | |
Jeffrey R. Immelt(34)
|
| | | | 307,923 | | | | | | * | | | | | | 39,256 | | | | | | 268,667 | | | | | | * | | |
Jitendra Saxena
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
John H. Chory
|
| | | | 4,000 | | | | | | * | | | | | | 4,000 | | | | | | — | | | | | | — | | |
Josephine Linden
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
KDT Desktop Metal Holdings, LLC(35)
|
| | | | 9,384,282 | | | | | | 4.14% | | | | | | 9,384,282 | | | | | | — | | | | | | — | | |
Kenneth A. Bronfin and Sarina M. Bronfin
|
| | | | 7,500 | | | | | | * | | | | | | 7,500 | | | | | | — | | | | | | — | | |
Kenneth W. Lang Revocable Trust
|
| | | | 30,000 | | | | | | * | | | | | | 30,000 | | | | | | — | | | | | | — | | |
Kent R. Sander
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
Khaki Campbell Trust(9)
|
| | | | 628,927 | | | | | | * | | | | | | 628,927 | | | | | | — | | | | | | — | | |
KPCB Holdings, Inc., as nominee(36)
|
| | | | 17,856,665 | | | | | | 7.88% | | | | | | 17,856,665 | | | | | | — | | | | | | — | | |
LAUNCH Fund I, LP(37)
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Lawrence D. Kingsley
|
| | | | 20,000 | | | | | | * | | | | | | 20,000 | | | | | | — | | | | | | — | | |
Lawry Family 2012 Trust
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
Leo Hindery, Jr.
|
| | | | 4,254,097 | | | | | | 1.88% | | | | | | 4,254,097 | | | | | | — | | | | | | — | | |
Leon Wagner
|
| | | | 493,185 | | | | | | * | | | | | | 493,185 | | | | | | — | | | | | | — | | |
Lux Co-Invest Opportunities, LP(38)
|
| | | | 1,827,917 | | | | | | * | | | | | | 1,827,917 | | | | | | — | | | | | | — | | |
Lux Ventures IV, LP(38)
|
| | | | 16,630,411 | | | | | | 7.34% | | | | | | 16,630,411 | | | | | | — | | | | | | — | | |
LVIP Baron Growth Opportunities Fund(6)
|
| | | | 135,000 | | | | | | * | | | | | | 135,000 | | | | | | — | | | | | | — | | |
Magmanor, LLC(39)
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Malcolm Ian Grant Gilchrist
|
| | | | 682,451 | | | | | | * | | | | | | 682,451 | | | | | | — | | | | | | — | | |
Marc Nathanson
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
Mark J. Coleman
|
| | | | 1,573,613 | | | | | | * | | | | | | 1,573,613 | | | | | | — | | | | | | — | | |
Media Backwards, LLC(40)
|
| | | | 165,643 | | | | | | * | | | | | | 165,643 | | | | | | — | | | | | | — | | |
Meyer Malka
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
Michael L. Volpe
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Miller Opportunity Trust, a Series of Trust for Advised Portfolios(41)
|
| | | | 7,902,073 | | | | | | 3.49% | | | | | | 6,000,000 | | | | | | 1,902,073 | | | | | | * | | |
Moonrise Venture Partners I LP(42)
|
| | | | 285,144 | | | | | | * | | | | | | 285,144 | | | | | | — | | | | | | — | | |
Museum Associates dba Los Angeles County Museum of Art(43)
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
NEA Ventures 2015, L.P.(44)
|
| | | | 17,161 | | | | | | * | | | | | | 17,161 | | | | | | — | | | | | | — | | |
New Enterprise Associates 15, L.P.(44)
|
| | | | 28,263,413 | | | | | | 12.47% | | | | | | 28,263,413 | | | | | | — | | | | | | — | | |
OM Venture Partners, LLC(45)
|
| | | | 150,000 | | | | | | * | | | | | | 150,000 | | | | | | — | | | | | | — | | |
Panasonic Ventures, LLC(46)
|
| | | | 622,098 | | | | | | * | | | | | | 622,098 | | | | | | — | | | | | | — | | |
Pardeep Kohli
|
| | | | 7,500 | | | | | | * | | | | | | 7,500 | | | | | | — | | | | | | — | | |
Paresh Patel
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
Patient Partners, LP(47)
|
| | | | 120,000 | | | | | | * | | | | | | 120,000 | | | | | | — | | | | | | — | | |
Patni Holdings, LLC(48)
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
| | |
Shares Beneficially Owned
Prior to Offering |
| |
Number of Shares
Being Offered |
| |
Shares Beneficially Owned
After the Offering |
| |||||||||||||||||||||
Name of Selling Stockholder
|
| |
Number
|
| |
Percentage
|
| | | | | | | |
Number
|
| |
Percentage
|
| ||||||||||||
Philip Liang
|
| | | | 16,000 | | | | | | * | | | | | | 16,000 | | | | | | — | | | | | | — | | |
Pierre Michel Henry
|
| | | | 496,931 | | | | | | * | | | | | | 496,931 | | | | | | — | | | | | | — | | |
Pillar I, L.P. (23)
|
| | | | 100,560 | | | | | | * | | | | | | 100,560 | | | | | | — | | | | | | — | | |
Pitrizza, LLC(49)
|
| | | | 547,983 | | | | | | * | | | | | | 547,983 | | | | | | — | | | | | | — | | |
Plum Bush Private LLC(50)
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | | | | | | | | | |
Red Tailed Hawk Trust(9)
|
| | | | 628,927 | | | | | | * | | | | | | 628,927 | | | | | | — | | | | | | — | | |
Ric Fulop(9)
|
| | | | 20,095,149 | | | | | | 8.86% | | | | | | 20,095,149 | | | | | | — | | | | | | — | | |
Ryan Maierson
|
| | | | 4,000 | | | | | | * | | | | | | 4,000 | | | | | | — | | | | | | — | | |
Rich D’Amore
|
| | | | 57,204 | | | | | | * | | | | | | 57,204 | | | | | | — | | | | | | — | | |
Riot Ventures Opportunity II-A, L.P.(51)
|
| | | | 1,096,782 | | | | | | * | | | | | | 1,096,782 | | | | | | — | | | | | | — | | |
Riot Ventures Opportunity II-B, LLC(51)
|
| | | | 73,119 | | | | | | * | | | | | | 73,119 | | | | | | — | | | | | | — | | |
Riot Ventures Opportunity P, LLC(51)
|
| | | | 48,746 | | | | | | * | | | | | | 48,746 | | | | | | — | | | | | | — | | |
Robert M. Blanck, Jr.
|
| | | | 16,000 | | | | | | * | | | | | | 16,000 | | | | | | — | | | | | | — | | |
SAEV Guernsey Holdings Limited(52)
|
| | | | 2,150,388 | | | | | | * | | | | | | 2,150,388 | | | | | | — | | | | | | — | | |
SCGC Capital Holding Company Limited(53)
|
| | | | 1,556,367 | | | | | | * | | | | | | 1,556,367 | | | | | | — | | | | | | — | | |
Scopus Fund Ltd(54)
|
| | | | 30,400 | | | | | | * | | | | | | 30,400 | | | | | | — | | | | | | — | | |
Scopus Partners II, L.P.(54)
|
| | | | 85,580 | | | | | | * | | | | | | 85,580 | | | | | | — | | | | | | — | | |
Scopus Partners, L.P.(54)
|
| | | | 55,880 | | | | | | * | | | | | | 55,880 | | | | | | — | | | | | | — | | |
Scopus Vista Fund Ltd(54)
|
| | | | 47,740 | | | | | | * | | | | | | 47,740 | | | | | | — | | | | | | — | | |
Scopus Vista Partners, L.P.(54)
|
| | | | 780,400 | | | | | | * | | | | | | 780,400 | | | | | | — | | | | | | — | | |
Seth W. Lawry 1999 Trust
|
| | | | 25,000 | | | | | | * | | | | | | 25,000 | | | | | | — | | | | | | — | | |
Staggs Trust
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
Stanley N. Lapidus
|
| | | | 1,000 | | | | | | * | | | | | | 1,000 | | | | | | — | | | | | | — | | |
Sun Hung Kai Strategic Capital Limited(55)
|
| | | | 500,000 | | | | | | * | | | | | | 500,000 | | | | | | — | | | | | | — | | |
Susan L. Mazur
|
| | | | 4,000 | | | | | | * | | | | | | 4,000 | | | | | | — | | | | | | — | | |
Tech Opportunities LLC(56)
|
| | | | 1,068,845 | | | | | | * | | | | | | 900,000 | | | | | | 168,845 | | | | | | * | | |
The Assaf Family Trust dtd 3/24/05
|
| | | | 100,000 | | | | | | * | | | | | | 100,000 | | | | | | — | | | | | | — | | |
The Northern Trust Company (ABN 62
126 279 918) in its capacity as custodian for the Future Fund Investment Company No.4 Pty Ltd(57) |
| | | | 11,198,714 | | | | | | 4.94% | | | | | | 11,198,714 | | | | | | — | | | | | | — | | |
The Scott B. Kapnick 2016 Revocable Trust
|
| | | | 550,000 | | | | | | * | | | | | | 550,000 | | | | | | — | | | | | | — | | |
Theo Lubke and Anne-Marie Kim
|
| | | | 2,500 | | | | | | * | | | | | | 2,500 | | | | | | — | | | | | | — | | |
Trently Holdings, LLC(58)
|
| | | | 400,000 | | | | | | * | | | | | | 400,000 | | | | | | — | | | | | | — | | |
Tyche Partners II, L.P.(57)
|
| | | | 365,594 | | | | | | * | | | | | | 365,594 | | | | | | — | | | | | | — | | |
Tyche Partners, L.P.(57)
|
| | | | 2,456,175 | | | | | | 1.08% | | | | | | 2,456,175 | | | | | | — | | | | | | — | | |
V.F. & A.L. Goldstein 2012 Family Trust
|
| | | | 10,000 | | | | | | * | | | | | | 10,000 | | | | | | — | | | | | | — | | |
Vertex Ventures US Fund I, L.P.(58)
|
| | | | 427,717 | | | | | | * | | | | | | 427,717 | | | | | | — | | | | | | — | | |
Vipul Shah
|
| | | | 10,000 | | | | | | * | | | | | | 10,000 | | | | | | — | | | | | | — | | |
VY Baron Growth Portfolio(6)
|
| | | | 90,000 | | | | | | * | | | | | | 90,000 | | | | | | — | | | | | | — | | |
William H. Miller III Living Trust Dated
April 17, 2017, as amended |
| | | | 2,003,500 | | | | | | * | | | | | | 1,000,000 | | | | | | 1,003,500 | | | | | | * | | |
| | |
Shares Beneficially Owned
Prior to Offering |
| |
Number of Shares
Being Offered |
| |
Shares Beneficially Owned
After the Offering |
| |||||||||||||||||||||
Name of Selling Stockholder
|
| |
Number
|
| |
Percentage
|
| | | | | | | |
Number
|
| |
Percentage
|
| ||||||||||||
WO Select Investments, LLC(61)
|
| | | | 250,000 | | | | | | * | | | | | | 250,000 | | | | | | — | | | | | | — | | |
XN Exponent Master Fund LP(62)
|
| | | | 3,000,000 | | | | | | 1.32% | | | | | | 3,000,000 | | | | | | — | | | | | | — | | |
Yves A. Behar
|
| | | | 114,395 | | | | | | * | | | | | | 114,395 | | | | | | — | | | | | | — | | |
Zuaiter Capital Holdings, LLC(63)
|
| | | | 401,686 | | | | | | * | | | | | | 401,686 | | | | | | — | | | | | | — | | |
| Audited financial statements of Trine Acquisition Corp. | | | | | | | |
| | | | | F-3 | | | |
| | | | | F-4 | | | |
| | | | | F-5 | | | |
| | | | | F-6 | | | |
| | | | | F-7 | | | |
| | | | | F-8 | | | |
| Unaudited consolidated financial statements of Trine Acquisition Corp. | | | | | | | |
| | | | | F-21 | | | |
| | | | | F-22 | | | |
| | | | | F-23 | | | |
| | | | | F-25 | | | |
| | | | | F-26 | | | |
| Audited consolidated financial statements of Desktop Metal, Inc. and subsidiaries | | | | | | | |
| | | | | F-39 | | | |
| | | | | F-40 | | | |
| | | | | F-41 | | | |
| | | | | F-42 | | | |
| | | | | F-43 | | | |
| | | | | F-44 | | | |
| | | | | F-45 | | | |
| Unaudited condensed consolidated financial statements of Desktop Metal, Inc. and subsidiaries | | | | | | | |
| | | | | F-70 | | | |
| | | | | F-71 | | | |
| | | | | F-72 | | | |
| | | | | F-73 | | | |
| | | | | F-75 | | | |
| | | | | F-76 | | |
| Audited combined financial statements of EnvisionTEC Group | | | |||||
| | | | | F-97 | | | |
| | | | | F-98 | | | |
| | | | | F-99 | | | |
| | | | | F-100 | | | |
| | | | | F-101 | | | |
| | | | | F-102 | | | |
| Unaudited combined financial statements of EnvisionTEC Group | | | | | | | |
| | | | | F-112 | | | |
| | | | | F-113 | | | |
| | | | | F-114 | | | |
| | | | | F-115 | | | |
| | | | | F-116 | | |
| | |
December 31,
2019 |
| |
December 31,
2018 |
| ||||||
ASSETS | | | | | | | | | | | | | |
Current assets | | | | | | | | | | | | | |
Cash
|
| | | $ | 138,533 | | | | | $ | 119,136 | | |
Prepaid income taxes
|
| | | | 242,620 | | | | | | — | | |
Prepaid expenses
|
| | | | 190,917 | | | | | | — | | |
Total Current Assets
|
| | | | 572,070 | | | | | | 119,136 | | |
Security deposit
|
| | | | 23,800 | | | | | | 23,800 | | |
Deferred offering costs
|
| | | | — | | | | | | 182,742 | | |
Marketable securities held in Trust Account
|
| | | | 304,528,924 | | | | | | — | | |
Total Assets
|
| | | $ | 305,124,794 | | | | | $ | 325,678 | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | | | | | | | | | | | | | |
Current liabilities | | | | | | | | | | | | | |
Accounts payable and accrued expenses
|
| | | $ | 303,190 | | | | | $ | 20,222 | | |
Accrued offering costs
|
| | | | — | | | | | | 25,149 | | |
Promissory note – related party
|
| | | | — | | | | | | 299,000 | | |
Total Current Liabilities
|
| | | | 303,190 | | | | | | 344,371 | | |
Deferred tax liability
|
| | | | 35,655 | | | | | | — | | |
Deferred underwriting fee payable
|
| | | | 10,505,250 | | | | | | — | | |
Total Liabilities
|
| | | | 10,844,095 | | | | | | 344,371 | | |
Commitments and Contingencies (Note 6) | | | | | | | | | | | | | |
Common stock subject to possible redemption, 28,504,462 shares at redemption value as of December 31, 2019
|
| | | | 289,280,690 | | | | | | — | | |
Stockholders’ Equity (Deficit) | | | | | | | | | | | | | |
Preferred stock, $0.0001 par value; 1,000,000 shares authorized, none issued
and outstanding |
| | | | — | | | | | | — | | |
Class A common stock, $0.0001 par value; 100,000,000 shares authorized; 1,510,538 and -0- shares issued and outstanding (excluding 28,504,462 and -0- shares subject to possible redemption) as of December 31, 2019 and 2018, respectively
|
| | | | 151 | | | | | | — | | |
Class B convertible common stock, $0.0001 par value; 10,000,000 shares authorized; 7,503,750 shares issued and outstanding
|
| | | | 750 | | | | | | 750 | | |
Additional paid in capital
|
| | | | 2,313,769 | | | | | | 24,250 | | |
Retained earnings/(Accumulated deficit)
|
| | | | 2,685,339 | | | | | | (43,693) | | |
Total Stockholders’ Equity (Deficit)
|
| | | | 5,000,009 | | | | | | (18,693) | | |
Total Liabilities and Stockholders’ Equity (Deficit)
|
| | | $ | 305,124,794 | | | | | $ | 325,678 | | |
|
| | |
Year Ended
December 31, 2019 |
| |
For the Period
from September 26, 2018 (inception) Through December 31, 2018 |
| ||||||
Operating costs
|
| | | $ | 1,856,857 | | | | | $ | 43,693 | | |
Loss from operations
|
| | | | (1,856,857) | | | | | | (43,693) | | |
Other income: | | | | | | | | | | | | | |
Interest income
|
| | | | 5,142,140 | | | | | | — | | |
Unrealized gain on marketable securities held in Trust Account
|
| | | | 169,784 | | | | | | — | | |
Other income
|
| | | | 5,311,924 | | | | | | — | | |
Income (loss) before provision for income taxes
|
| | | | 3,455,067 | | | | | | (43,693) | | |
Provision for income taxes
|
| | | | (726,035) | | | | | | — | | |
Net income (loss)
|
| | | $ | 2,729,032 | | | | | $ | (43,693) | | |
Weighted average shares outstanding, basic and diluted(1)
|
| | | | 8,348,930 | | | | | | 6,525,000 | | |
Basic and diluted net loss per common share(2)
|
| | | $ | (0.18) | | | | | $ | (0.01) | | |
| | |
Class A Common Stock
|
| |
Class B Common Stock
|
| |
Additional
Paid in Capital |
| |
Retained
Earnings (Accumulated Deficit) |
| |
Total
Stockholders’ Equity (Deficit) |
| |||||||||||||||||||||||||||
| | |
Shares
|
| |
Amount
|
| |
Shares
|
| |
Amount
|
| ||||||||||||||||||||||||||||||
Balance – September 26, 2018
(inception) |
| | | | — | | | | | $ | — | | | | | | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | |
Sale of common stock to Sponsor
|
| | | | — | | | | | | — | | | | | | 7,503,750 | | | | | | 750 | | | | | | 24,250 | | | | | | — | | | | | | 25,000 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (43,693) | | | | | | (43,693) | | |
Balance – December 31, 2018
|
| | | | — | | | | | | — | | | | | | 7,503,750 | | | | | | 750 | | | | | | 24,250 | | | | | | (43,693) | | | | | | (18,693) | | |
Sale of 30,015,000 Units, net of underwriting fees and offering expenses
|
| | | | 30,015,000 | | | | | | 3,002 | | | | | | — | | | | | | — | | | | | | 283,064,358 | | | | | | — | | | | | | 283,067,360 | | |
Sale of 8,503,000 Private Placement Warrants
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 8,503,000 | | | | | | — | | | | | | 8,503,000 | | |
Common stock subject to possible redemption
|
| | | | (28,504,462) | | | | | | (2,851) | | | | | | — | | | | | | — | | | | | | (289,277,839) | | | | | | — | | | | | | (289,280,690) | | |
Net income
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 2,729,032 | | | | | | 2,729,032 | | |
Balance – December 31, 2019
|
| | | | 1,510,538 | | | | | $ | 151 | | | | | | 7,503,750 | | | | | $ | 750 | | | | | $ | 2,313,769 | | | | | $ | 2,685,339 | | | | | $ | 5,000,009 | | |
|
| | |
Year Ended
December 31, 2019 |
| |
For the Period
from September 26, 2018 (inception) Through December 31, 2018 |
| ||||||
Cash Flows from Operating Activities: | | | | | | | | | | | | | |
Net income (loss)
|
| | | $ | 2,729,032 | | | | | $ | (43,693) | | |
Adjustments to reconcile net income (loss) to net cash used in operating activities:
|
| | | | | | | | | | | | |
Interest earned on marketable securities held in Trust Account
|
| | | | (5,142,140) | | | | | | — | | |
Unrealized gain on marketable securities held in Trust Account
|
| | | | (169,784) | | | | | | — | | |
Deferred tax provision
|
| | | | 35,655 | | | | | | — | | |
Changes in operating assets and liabilities:
|
| | | | | | | | | | | | |
Prepaid income taxes
|
| | | | (242,620) | | | | | | — | | |
Prepaid expenses
|
| | | | (190,917) | | | | | | — | | |
Security deposit
|
| | | | — | | | | | | (23,800) | | |
Accounts payable and accrued expenses
|
| | | | 282,968 | | | | | | 20,222 | | |
Net cash used in operating activities
|
| | | | (2,697,806) | | | | | | (47,271) | | |
Cash Flows from Investing Activities: | | | | | | | | | | | | | |
Investment of cash in Trust Account
|
| | | | (300,150,000) | | | | | | — | | |
Cash withdrawn from Trust Account to pay income taxes
|
| | | | 933,000 | | | | | | — | | |
Net cash used in investing activities
|
| | | | (299,217,000) | | | | | | — | | |
Cash Flows from Financing Activities: | | | | | | | | | | | | | |
Proceeds from sale of Class B convertible common stock to Sponsor
|
| | | | — | | | | | | 25,000 | | |
Proceeds from sale of Units, net of underwriting fees paid
|
| | | | 294,147,000 | | | | | | — | | |
Proceeds from sale of Private Placement Warrants
|
| | | | 8,503,000 | | | | | | — | | |
Advances from related party
|
| | | | 150,000 | | | | | | — | | |
Repayment of advances from related party
|
| | | | (150,000) | | | | | | — | | |
Proceeds from promissory note – related party
|
| | | | — | | | | | | 300,000 | | |
Repayment of promissory note – related party
|
| | | | (299,000) | | | | | | (1,000) | | |
Payment of offering costs
|
| | | | (416,797) | | | | | | (157,593) | | |
Net cash provided by financing activities
|
| | | | 301,934,203 | | | | | | 166,407 | | |
Net Change in Cash
|
| | | | 19,397 | | | | | | 119,136 | | |
Cash – Beginning
|
| | | | 119,136 | | | | | | — | | |
Cash – Ending | | | | $ | 138,533 | | | | | $ | 119,136 | | |
Supplemental cash flow information: | | | | | | | | | | | | | |
Cash paid for income taxes
|
| | | $ | 933,000 | | | | | $ | — | | |
Non-cash investing and financing activities: | | | | | | | | | | | | | |
Initial classification of common stock subject to possible redemption
|
| | | $ | 286,423,829 | | | | | $ | — | | |
Change in value of common stock subject to possible redemption
|
| | | $ | 2,856,861 | | | | | $ | — | | |
Deferred underwriting fee payable
|
| | | $ | 10,505,250 | | | | | $ | — | | |
Offering costs included in accrued offering costs
|
| | | $ | — | | | | | $ | 25,149 | | |
| | |
Year Ended
December 31, 2019 |
| |
For the Period
from September 26, 2018 (Inception) Through December 31, 2018 |
| ||||||
Net income (loss)
|
| | | $ | 2,729,032 | | | | | $ | (43,693) | | |
Less: Income attributable to common stock subject to possible redemption
|
| | | | (4,202,325) | | | | | | — | | |
Adjusted net loss
|
| | | $ | (1,473,293) | | | | | $ | (43,693) | | |
Weighted average shares outstanding, basic and diluted
|
| | | | 8,348,930 | | | | | | 6,525,000 | | |
Basic and diluted net loss per common share
|
| | | $ | (0.18) | | | | | $ | (0.01) | | |
| Deferred tax liability | | | | | | | |
|
Unrealized gain on marketable securities held in the Trust Account
|
| | | $ | (35,655) | | |
|
Total deferred tax liability
|
| | | | (35,655) | | |
| Federal | | | | | | | |
|
Current
|
| | | $ | 690,380 | | |
|
Deferred
|
| | | | 35,655 | | |
| State | | | | | | | |
|
Current
|
| | | $ | — | | |
|
Deferred
|
| | | | — | | |
|
Income tax provision
|
| | | $ | 726,035 | | |
|
Statutory federal income tax rate
|
| | | | 21.0% | | |
|
State taxes, net of federal tax benefit
|
| | | | 0.0% | | |
|
Income tax provision
|
| | | | 21.0% | | |
Description
|
| |
Level
|
| |
December 31,
2019 |
| ||||||
Assets: | | | | | | | | | | | | | |
Marketable securities held in Trust Account
|
| | | | 1 | | | | | $ | 304,528,924 | | |
| | |
September 30,
2020 |
| |
December 31,
2019 |
| ||||||
| | |
(Unaudited)
|
| | | | | | | |||
ASSETS | | | | | | | | | | | | | |
Current assets | | | | | | | | | | | | | |
Cash
|
| | | $ | 87,616 | | | | | $ | 138,533 | | |
Prepaid income taxes
|
| | | | 242,620 | | | | | | 242,620 | | |
Prepaid expenses
|
| | | | 81,792 | | | | | | 190,917 | | |
Total Current Assets
|
| | | | 412,028 | | | | | | 572,070 | | |
Security deposit
|
| | | | 23,800 | | | | | | 23,800 | | |
Marketable securities held in Trust Account
|
| | | | 305,409,720 | | | | | | 304,528,924 | | |
Total Assets
|
| | | $ | 305,845,548 | | | | | $ | 305,124,794 | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | | | | | | |
Current liabilities – Accounts payable and accrued expenses
|
| | | $ | 2,675,310 | | | | | $ | 303,190 | | |
Convertible promissory note – related party
|
| | | | 1,285,415 | | | | | | — | | |
Deferred tax liability
|
| | | | — | | | | | | 35,655 | | |
Deferred underwriting fee payable
|
| | | | 10,505,250 | | | | | | 10,505,250 | | |
Total Liabilities
|
| | | | 14,465,975 | | | | | | 10,844,095 | | |
Commitments and Contingencies (Note 7) | | | | | | | | | | | | | |
Common stock subject to possible redemption, 28,129,612 and 28,504,462 shares at redemption value as of September 30, 2020 and December 31, 2019, respectively
|
| | | | 286,379,569 | | | | | | 289,280,690 | | |
Stockholders’ Equity | | | | | | | | | | | | | |
Preferred stock, $0.0001 par value; 1,000,000 shares authorized, none issued and outstanding
|
| | | | — | | | | | | — | | |
Class A common stock, $0.0001 par value; 100,000,000 shares authorized; 1,885,388 and 1,510,538 shares issued and outstanding (excluding 28,129,612 and 28,504,462 shares subject to possible redemption) as of September 30, 2020 and December 31, 2019, respectively
|
| | | | 189 | | | | | | 151 | | |
Class B convertible common stock, $0.0001 par value; 10,000,000 shares authorized; 7,503,750 shares issued and outstanding at September 30, 2020 and December 31, 2019
|
| | | | 750 | | | | | | 750 | | |
Additional paid in capital
|
| | | | 5,214,852 | | | | | | 2,313,769 | | |
(Accumulated deficit)/Retained earnings
|
| | | | (215,787) | | | | | | 2,685,339 | | |
Total Stockholders’ Equity
|
| | | | 5,000,004 | | | | | | 5,000,009 | | |
Total Liabilities and Stockholders’ Equity
|
| | | $ | 305,845,548 | | | | | $ | 305,124,794 | | |
|
| | |
Three Months Ended
September 30, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||
| | |
2020
|
| |
2019
|
| |
2020
|
| |
2019
|
| ||||||||||||
Operating costs
|
| | | $ | 3,040,133 | | | | | $ | 510,526 | | | | | $ | 4,047,981 | | | | | $ | 1,181,659 | | |
Loss from operations
|
| | | | (3,040,133) | | | | | | (510,526) | | | | | | (4,047,981) | | | | | | (1,181,659) | | |
Other income: | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest income
|
| | | | 27,625 | | | | | | 1,754,117 | | | | | | 1,111,200 | | | | | | 3,756,180 | | |
Unrealized (loss) gain on marketable securities held in Trust Account
|
| | | | — | | | | | | (178,078) | | | | | | — | | | | | | 24,710 | | |
Other income
|
| | | | 27,625 | | | | | | 1,576,039 | | | | | | 1,111,200 | | | | | | 3,780,890 | | |
(Loss) income before benefit from (provision for) income taxes
|
| | | | (3,012,508) | | | | | | 1,065,513 | | | | | | (2,936,781) | | | | | | 2,599,231 | | |
Benefit from (provision for) income taxes
|
| | | | 51,898 | | | | | | (223,758) | | | | | | 35,655 | | | | | | (545,838) | | |
Net (loss) income
|
| | | $ | (2,960,610) | | | | | $ | 841,755 | | | | | $ | (2,901,126) | | | | | $ | 2,053,393 | | |
Weighted average shares outstanding, basic and diluted(1)
|
| | | | 9,095,586 | | | | | | 8,854,332 | | | | | | 9,054,242 | | | | | | 8,158,050 | | |
Basic and diluted net loss per common share(2)
|
| | | $ | (0.33) | | | | | $ | (0.05) | | | | | $ | (0.42) | | | | | $ | (0.11) | | |
| | |
Class A Common Stock
|
| |
Class B Common Stock
|
| |
Additional
Paid in Capital |
| |
(Accumulated
Deficit)/ Retained Earnings |
| |
Total
Stockholders’ Equity |
| |||||||||||||||||||||||||||
| | |
Shares
|
| |
Amount
|
| |
Shares
|
| |
Amount
|
| ||||||||||||||||||||||||||||||
Balance – January 1,
2020 |
| | | | 1,510,538 | | | | | $ | 151 | | | | | | 7,503,750 | | | | | $ | 750 | | | | | $ | 2,313,769 | | | | | $ | 2,685,339 | | | | | $ | 5,000,009 | | |
Change in value of
common stock subject to possible redemption |
| | | | 38,111 | | | | | | 4 | | | | | | — | | | | | | — | | | | | | (239,724) | | | | | | — | | | | | | (239,720) | | |
Net income
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 239,716 | | | | | | 239,716 | | |
Balance – March 31,
2020 |
| | | | 1,548,649 | | | | | | 155 | | | | | | 7,503,750 | | | | | | 750 | | | | | | 2,074,045 | | | | | | 2,925,055 | | | | | | 5,000,005 | | |
Change in value of
common stock subject to possible redemption |
| | | | 43,187 | | | | | | 5 | | | | | | — | | | | | | — | | | | | | 180,223 | | | | | | — | | | | | | 180,228 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (180,232) | | | | | | (180,232) | | |
Balance – June 30, 2020
|
| | | | 1,591,836 | | | | | $ | 160 | | | | | | 7,503,750 | | | | | $ | 750 | | | | | $ | 2,254,268 | | | | | $ | 2,744,823 | | | | | $ | 5,000,001 | | |
Change in value of
common stock subject to possible redemption |
| | | | 293,552 | | | | | | 29 | | | | | | — | | | | | | — | | | | | | 2,960,584 | | | | | | — | | | | | | 2,960,613 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (2,960,610) | | | | | | (2,960,610) | | |
Balance – September 30, 2020
|
| | | | 1,885,388 | | | | | $ | 189 | | | | | | 7,503,750 | | | | | $ | 750 | | | | | $ | 5,214,852 | | | | | $ | (215,787) | | | | | $ | 5,000,004 | | |
| | |
Class A
Common Stock |
| |
Class B
Common Stock |
| |
Additional
Paid in Capital |
| |
(Accumulated
Deficit)/ Retained Earnings |
| |
Total
Stockholders’ Equity |
| |||||||||||||||||||||||||||
| | |
Shares
|
| |
Amount
|
| |
Shares
|
| |
Amount
|
| ||||||||||||||||||||||||||||||
Balance – January 1, 2019
|
| | | | — | | | | | $ | — | | | | | | 7,503,750 | | | | | $ | 750 | | | | | $ | 24,250 | | | | | $ | (43,693) | | | | | $ | (18,693) | | |
Sale of
30,015,000 Units, net of underwriting discount and offering expenses |
| | | | 30,015,000 | | | | | | 3,002 | | | | | | — | | | | | | — | | | | | | 283,064,358 | | | | | | — | | | | | | 283,067,360 | | |
Sale of 8,503,000 Private Placement Warrants
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 8,503,000 | | | | | | — | | | | | | 8,503,000 | | |
Common stock subject
to possible redemption |
| | | | (28,636,988) | | | | | | (2,864) | | | | | | — | | | | | | — | | | | | | (286,507,378) | | | | | | — | | | | | | (286,510,242) | | |
Net loss
|
| | |
|
—
|
| | | |
|
—
|
| | | |
|
—
|
| | | |
|
—
|
| | | |
|
—
|
| | | | | (41,421) | | | | | | (41,421) | | |
Balance – March 31, 2019
|
| | | | 1,378,012 | | | | | | 138 | | | | | | 7,503,750 | | | | | | 750 | | | | | | 5,084,230 | | | | | | (85,114) | | | | | | 5,000,004 | | |
Change in value of common stock subject to possible redemption
|
| | | | (27,430) | | | | | | (3) | | | | | | — | | | | | | — | | | | | | (1,253,056) | | | | | | — | | | | | | (1,253,059) | | |
Net income
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 1,253,059 | | | | | | 1,253,059 | | |
Balance – June 30, 2019
|
| | | | 1,350,582 | | | | | $ | 135 | | | | | | 7,503,750 | | | | | $ | 750 | | | | | $ | 3,831,174 | | | | | $ | 1,167,945 | | | | | $ | 5,000,004 | | |
Change in value of common stock subject to possible redemption
|
| | | | 61,013 | | | | | | 6 | | | | | | — | | | | | | — | | | | | | (841,764) | | | | | | — | | | | | | (841,758) | | |
Net income
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 841,755 | | | | | | 841,755 | | |
Balance – September 30,
2019 |
| | | | 1,411,595 | | | | | $ | 141 | | | | | | 7,503,750 | | | | | $ | 750 | | | | | $ | 2,989,410 | | | | | $ | 2,009,700 | | | | | $ | 5,000,001 | | |
| | |
Nine Months Ended
September 30, |
| |||||||||
| | |
2020
|
| |
2019
|
| ||||||
Cash Flows from Operating Activities: | | | | | | | | | | | | | |
Net (loss) income
|
| | | $ | (2,901,126) | | | | | $ | 2,053,393 | | |
Adjustments to reconcile net (loss) income to net cash used in operating activities:
|
| | | | | | | | | | | | |
Interest earned on marketable securities held in Trust Account
|
| | | | (1,111,200) | | | | | | (3,756,180) | | |
Unrealized gain on marketable securities held in Trust Account
|
| | | | — | | | | | | (24,710) | | |
Deferred income taxes
|
| | | | (35,655) | | | | | | 5,189 | | |
Changes in operating assets and liabilities:
|
| | | | | | | | | | | | |
Prepaid income taxes
|
| | | | — | | | | | | (392,351) | | |
Prepaid expenses
|
| | | | 109,125 | | | | | | (309,314) | | |
Accounts payable and accrued expenses
|
| | | | 2,372,120 | | | | | | 175,916 | | |
Net cash used in operating activities
|
| | | | (1,566,736) | | | | | | (2,248,057) | | |
Cash Flows from Investing Activities: | | | | | | | | | | | | | |
Investment of cash in Trust Account
|
| | | | — | | | | | | (300,150,000) | | |
Cash withdrawn from Trust Account to pay franchise and income taxes
|
| | | | 230,404 | | | | | | 933,000 | | |
Net cash provided by (used in) investing activities
|
| | | | 230,404 | | | | | | (299,217,000) | | |
Cash Flows from Financing Activities: | | | | | | | | | | | | | |
Proceeds from sale of Units, net of underwriting fees paid
|
| | | | — | | | | | | 294,147,000 | | |
Proceeds from sale of Private Placement Warrants
|
| | | | — | | | | | | 8,503,000 | | |
Advances from related party
|
| | | | — | | | | | | 150,000 | | |
Repayment of advances from related party
|
| | | | — | | | | | | (150,000) | | |
Proceeds from convertible promissory note – related party
|
| | | | 1,285,415 | | | | | | — | | |
Repayment of promissory note – related party
|
| | | | — | | | | | | (299,000) | | |
Payment of offering costs
|
| | | | — | | | | | | (416,797) | | |
Net cash provided by financing activities
|
| | | | 1,285,415 | | | | | | 301,934,203 | | |
Net Change in Cash
|
| | | | (50,917) | | | | | | 469,146 | | |
Cash – Beginning
|
| | | | 138,533 | | | | | | 119,136 | | |
Cash – Ending | | | | $ | 87,616 | | | | | $ | 588,282 | | |
Supplemental cash flow information: | | | | | | | | | | | | | |
Cash paid for income taxes
|
| | | $ | — | | | | | $ | 933,000 | | |
Non-cash investing and financing activities: | | | | | | | | | | | | | |
Initial classification of common stock subject to possible redemption
|
| | | $ | — | | | | | $ | 248,644,071 | | |
Change in value of common stock subject to possible redemption
|
| | | $ | (2,901,121) | | | | | $ | 39,960,988 | | |
Deferred underwriting fee payable
|
| | | $ | — | | | | | $ | 10,505,250 | | |
| | |
Three Months Ended
September 30, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||
| | |
2020
|
| |
2019
|
| |
2020
|
| |
2019
|
| ||||||||||||
Net (loss) income
|
| | | $ | (2,960,610) | | | | | $ | 841,755 | | | | | $ | (2,901,126) | | | | | $ | 2,053,393 | | |
Less: Income attributable to common stock subject to possible redemption
|
| | | | — | | | | | | (1,241,074) | | | | | | (924,253) | | | | | | (2,940,055) | | |
Adjusted net loss
|
| | | $ | (2,960,610) | | | | | $ | (399,319) | | | | | $ | (3,835,379) | | | | | $ | (886,662) | | |
Weighted average shares outstanding, basic and diluted
|
| | | | 9,095,586 | | | | | | 8,854,332 | | | | | | 9,054,242 | | | | | | 8,158,050 | | |
Basic and diluted net loss per common share
|
| | | $ | (0.33) | | | | | $ | (0.05) | | | | | $ | (0.42) | | | | | $ | (0.11) | | |
|
Level 1:
|
| | Quoted prices in active markets for identical assets or liabilities. An active market for an asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. | |
|
Level 2:
|
| | Observable inputs other than Level 1 inputs. Examples of Level 2 inputs include quoted prices in active markets for similar assets or liabilities and quoted prices for identical assets or liabilities in markets that are not active. | |
|
Level 3:
|
| | Unobservable inputs based on the Company’s assessment of the assumptions that market participants would use in pricing the asset or liability. | |
Description
|
| |
Level
|
| |
September 30,
2020 |
| |
December 31,
2019 |
| |||||||||
Assets: | | | | | | | | | | | | | | | | | | | |
Marketable securities held in Trust Account
|
| | | | 1 | | | | | $ | 305,409,720 | | | | | $ | 304,528,924 | | |
| | |
December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Assets | | | | | | | | | | | | | |
Current assets: | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | | $ | 66,161 | | | | | $ | 29,043 | | |
Short-term investments
|
| | | | 84,754 | | | | | | 64,229 | | |
Accounts receivable, net of allowance for doubtful accounts $0.2 million and $0.0 million
|
| | | | 4,523 | | | | | | 3,058 | | |
Inventory
|
| | | | 8,405 | | | | | | 3,982 | | |
Deferred cost of goods sold
|
| | | | 262 | | | | | | 2,991 | | |
Prepaid expenses and other current assets
|
| | | | 1,626 | | | | | | 2,435 | | |
Total current assets
|
| | | | 165,731 | | | | | | 105,738 | | |
Restricted cash
|
| | | | 612 | | | | | | 612 | | |
Property and equipment, net
|
| | | | 18,387 | | | | | | 18,997 | | |
Non-current investments
|
| | | | — | | | | | | 450 | | |
Capitalized software, net
|
| | | | 446 | | | | | | 788 | | |
Right-of-use assets
|
| | | | 2,289 | | | | | | 2,353 | | |
Goodwill
|
| | | | 2,252 | | | | | | — | | |
Acquired technology, net
|
| | | | 2,994 | | | | | | — | | |
Total Assets
|
| | | $ | 192,711 | | | | | $ | 128,938 | | |
Liabilities, Convertible Preferred Stock and Stockholders’ Equity | | | | | | | | | | | | | |
Current liabilities: | | | | | | | | | | | | | |
Accounts payable
|
| | | $ | 10,228 | | | | | $ | 14,573 | | |
Customer deposits
|
| | | | 2,325 | | | | | | 2,173 | | |
Current portion of operating lease liability
|
| | | | 806 | | | | | | 626 | | |
Accrued expenses and other current liabilities
|
| | | | 5,053 | | | | | | 1,806 | | |
Deferred revenue
|
| | | | 2,230 | | | | | | 3,922 | | |
Total current liabilities
|
| | | | 20,642 | | | | | | 23,100 | | |
Long-term debt, net of deferred financing costs
|
| | | | 9,972 | | | | | | 9,953 | | |
Lease liability, net of current portion
|
| | | | 3,026 | | | | | | 3,565 | | |
Total liabilities
|
| | | | 33,640 | | | | | | 36,618 | | |
Commitments and Contingences (Note 11) | | | | | | | | | | | | | |
Convertible Preferred Stock (Note 13)
|
| | | | 436,533 | | | | | | 276,889 | | |
Stockholders’ Equity: | | | | | | | | | | | | | |
Common Stock, $0.0001 par value – authorized, 156,000,000 shares; issued and
outstanding, 31,388,426 and 29,083,805 shares at December 31, 2019 and 2018, respectively (includes unvested 4,575,313 and 9,731,550 shares of restricted stock) |
| | | | 3 | | | | | | 2 | | |
Additional paid-in capital
|
| | | | 16,722 | | | | | | 6,440 | | |
Notes receivable
|
| | | | — | | | | | | (249) | | |
Accumulated deficit
|
| | | | (294,262) | | | | | | (190,666) | | |
Accumulated other comprehensive income (loss)
|
| | | | 75 | | | | | | (96) | | |
Total Stockholders’ Equity
|
| | | | (277,462) | | | | | | (184,569) | | |
Total Liabilities, Convertible Preferred Stock and Stockholders’ Equity
|
| | | $ | 192,711 | | | | | $ | 128,938 | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Revenues | | | | | | | | | | | | | |
Products
|
| | | $ | 22,758 | | | | | $ | 751 | | |
Services
|
| | | | 3,681 | | | | | | 283 | | |
Total revenues
|
| | | | 26,439 | | | | | | 1,034 | | |
Cost of sales | | | | | | | | | | | | | |
Products
|
| | | | 45,268 | | | | | | 4,572 | | |
Services
|
| | | | 5,528 | | | | | | 896 | | |
Total cost of sales
|
| | | | 50,796 | | | | | | 5,468 | | |
Gross margin
|
| | | | (24,357) | | | | | | (4,434) | | |
Operating expenses: | | | | | | | | | | | | | |
Research and development
|
| | | | 54,656 | | | | | | 59,607 | | |
Sales and marketing
|
| | | | 18,749 | | | | | | 14,674 | | |
General and administrative
|
| | | | 11,283 | | | | | | 44,898 | | |
Total operating expenses
|
| | | | 84,688 | | | | | | 119,179 | | |
Loss from operations
|
| | | | (109,045) | | | | | | (123,613) | | |
Interest expense
|
| | | | (503) | | | | | | (261) | | |
Interest and other income, net
|
| | | | 5,952 | | | | | | 2,535 | | |
Loss before income taxes
|
| | | | (103,596) | | | | | | (121,339) | | |
Provision for income taxes
|
| | | | — | | | | | | — | | |
Net loss
|
| | | $ | (103,596) | | | | | $ | (121,339) | | |
Net loss per share – basic and diluted
|
| | | $ | (4.43) | | | | | $ | (7.36) | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Net loss
|
| | | $ | (103,596) | | | | | $ | (121,339) | | |
Other comprehensive gain, net of taxes: | | | | | | | | | | | | | |
Unrealized gain on available-for-sale marketable securities
|
| | | | 171 | | | | | | 114 | | |
Total comprehensive loss, net of taxes of $0
|
| | | $ | (103,425) | | | | | $ | (121,225) | | |
| | |
Convertible
Preferred Stock |
| | |
Common Stock
|
| |
Additional
Paid-in Capital |
| |
Notes
Receivable |
| |
Accumulated
Deficit |
| |
Accumulated
Other Comprehensive (Loss) Income |
| |
Total
Stockholders’ Equity |
| |||||||||||||||||||||||||||||||||
| | |
Shares
|
| |
Amount
|
| | |
Shares
|
| |
Amount
|
| ||||||||||||||||||||||||||||||||||||||||||
BALANCE – January 1, 2018
|
| | | | 79,994,884 | | | | | $ | 241,789 | | | | | | | 12,971,191 | | | | | $ | 2 | | | | | $ | 2,810 | | | | | $ | — | | | | | $ | (69,327) | | | | | $ | (210) | | | | | $ | (66,725) | | |
Issuance of Series D
Convertible Preferred Stock – net of issuance costs ($169) |
| | | | 4,097,785 | | | | | | 35,100 | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Exercise of common stock options
|
| | | | — | | | | | | — | | | | | | | 526,898 | | | | | | — | | | | | | 373 | | | | | | — | | | | | | — | | | | | | — | | | | | | 373 | | |
Vesting of restricted Common Stock
|
| | | | — | | | | | | — | | | | | | | 5,575,000 | | | | | | — | | | | | | 8 | | | | | | | | | | | | — | | | | | | — | | | | | | 8 | | |
Stock-based compensation expense
|
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | 2,965 | | | | | | — | | | | | | — | | | | | | — | | | | | | 2,965 | | |
Common Stock warrants
issued |
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | 35 | | | | | | — | | | | | | — | | | | | | — | | | | | | 35 | | |
Issuance of notes receivable to stockholder
|
| | | | — | | | | | | — | | | | | | | 279,166 | | | | | | — | | | | | | 249 | | | | | | (249) | | | | | | — | | | | | | — | | | | | | — | | |
Net loss
|
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (121,339) | | | | | | — | | | | | | (121,339) | | |
Other comprehensive income
|
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 114 | | | | | | 114 | | |
BALANCE – December 31,
2018 |
| | | | 84,092,669 | | | | | | 276,889 | | | | | | | 19,352,255 | | | | | | 2 | | | | | | 6,440 | | | | | | (249) | | | | | | (190,666) | | | | | | (96) | | | | | | (184,569) | | |
Issuance of Series E
Convertible Preferred Stock – net of issuance costs ($124) |
| | | | 13,450,703 | | | | | | 134,667 | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Issuance of Series E-1 Convertible Preferred Stock–net of issuance costs ($22)
|
| | | | 2,494,737 | | | | | | 24,977 | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Exercise of common stock options
|
| | | | — | | | | | | — | | | | | | | 996,753 | | | | | | — | | | | | | 708 | | | | | | — | | | | | | — | | | | | | — | | | | | | 708 | | |
Vesting of restricted Common Stock
|
| | | | — | | | | | | — | | | | | | | 5,653,512 | | | | | | 1 | | | | | | 7 | | | | | | — | | | | | | — | | | | | | — | | | | | | 8 | | |
Stock-based compensation expense
|
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | 5,215 | | | | | | — | | | | | | — | | | | | | — | | | | | | 5,215 | | |
Common Stock warrants
issued |
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | 1,038 | | | | | | — | | | | | | — | | | | | | — | | | | | | 1,038 | | |
Issuance of common stock for acquisitions
|
| | | | — | | | | | | — | | | | | | | 873,203 | | | | | | — | | | | | | 3,563 | | | | | | — | | | | | | — | | | | | | — | | | | | | 3,563 | | |
Repayment of notes
receivable |
| | | | — | | | | | | — | | | | | | | (62,610) | | | | | | — | | | | | | (249) | | | | | | 249 | | | | | | — | | | | | | — | | | | | | — | | |
Net loss
|
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (103,596) | | | | | | — | | | | | | (103,596) | | |
Other comprehensive income
|
| | | | — | | | | | | — | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 171 | | | | | | 171 | | |
BALANCE – December 31,
2019 |
| | | | 100,038,109 | | | | | $ | 436,533 | | | | | | | 26,813,113 | | | | | $ | 3 | | | | | $ | 16,722 | | | | | $ | (0) | | | | | $ | (294,262) | | | | | $ | 75 | | | | | $ | (277,462) | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Cash Flows from Operating Activities: | | | | | | | | | | | | | |
Net loss
|
| | | $ | (103,596) | | | | | $ | (121,339) | | |
Adjustments to reconcile net loss to net cash used in operating activities: | | | | | | | | | | | | | |
Depreciation and amortization
|
| | | | 8,087 | | | | | | 4,204 | | |
Stock-based compensation
|
| | | | 5,215 | | | | | | 2,965 | | |
Expense related to Common Stock warrants issued
|
| | | | 1,038 | | | | | | 35 | | |
(Gain) loss on disposal of property and equipment
|
| | | | (7) | | | | | | 63 | | |
Gain on investment, related to Make Composites, Inc.
|
| | | | (1,426) | | | | | | — | | |
Impairment of capitalized software
|
| | | | 444 | | | | | | — | | |
Accretion of discount on investments
|
| | | | (1,570) | | | | | | (540) | | |
Amortization of debt financing cost
|
| | | | 19 | | | | | | — | | |
Net (increase) decrease in accrued interest related to marketable securities
|
| | | | (36) | | | | | | 135 | | |
Changes in operating assets and liabilities:
|
| | | | | | | | | | | | |
Accounts receivable
|
| | | | (1,465) | | | | | | (3,058) | | |
Inventory and deferred cost of goods sold
|
| | | | (1,694) | | | | | | (6,973) | | |
Prepaid expenses and other current assets
|
| | | | 809 | | | | | | 651 | | |
Accounts payable
|
| | | | (4,455) | | | | | | 9,066 | | |
Accrued expenses and other current liabilities
|
| | | | 3,272 | | | | | | (501) | | |
Customer deposits
|
| | | | 152 | | | | | | 609 | | |
Deferred revenue
|
| | | | (1,693) | | | | | | 3,922 | | |
Change in right of use assets and lease liabilities, net
|
| | | | (296) | | | | | | (241) | | |
Net cash used in operating activities
|
| | | | (97,202) | | | | | | (111,002) | | |
Cash Flows from Investing Activities: | | | | | | | | | | | | | |
Purchases of property and equipment
|
| | | | (6,867) | | | | | | (13,970) | | |
Proceeds from sale of property and equipment
|
| | | | — | | | | | | 14 | | |
Capitalized software, net
|
| | | | (321) | | | | | | (806) | | |
Purchase of marketable securities
|
| | | | (215,584) | | | | | | (96,828) | | |
Proceeds from sales and maturities of marketable securities
|
| | | | 196,836 | | | | | | 151,047 | | |
Cash paid for acquisition, net of cash acquired
|
| | | | (96) | | | | | | — | | |
Other investments
|
| | | | — | | | | | | (450) | | |
Net cash (used in) provided by investing activities
|
| | | | (26,032) | | | | | | 39,007 | | |
Cash Flows from Financing Activities | | | | | | | | | | | | | |
Proceeds from Preferred Stock issuances, net of issuance cost
|
| | | | 159,644 | | | | | | 35,100 | | |
Proceeds from exercise of stock options
|
| | | | 708 | | | | | | 373 | | |
Proceeds from term loan
|
| | | | — | | | | | | 9,953 | | |
Net cash provided by financing activities
|
| | | | 160,352 | | | | | | 45,426 | | |
Net increase (decrease) in cash, cash equivalents, and restricted cash
|
| | | | 37,118 | | | | | | (26,569) | | |
Cash and cash equivalents at beginning of year
|
| | | | 29,043 | | | | | | 55,612 | | |
Restricted cash
|
| | | | 612 | | | | | | 612 | | |
Cash, cash equivalents, and restricted cash at end of year
|
| | | $ | 66,773 | | | | | $ | 29,655 | | |
Supplemental cash flow information: | | | | | | | | | | | | | |
Interest paid
|
| | | $ | 485 | | | | | $ | 251 | | |
Non-cash investing and financing activities: | | | | | | | | | | | | | |
Common Stock issued for acquisitions
|
| | | $ | 3,563 | | | | | $ | — | | |
Additions to right of use assets and lease liabilities
|
| | | $ | 296 | | | | | $ | — | | |
Purchase of property and equipment included in accrued expense
|
| | | $ | 109 | | | | | $ | 307 | | |
Common Stock forfeited in satisfaction of note receivable
|
| | | $ | 249 | | | | | $ | — | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Warranty reserve, at the beginning of the year
|
| | | $ | 116 | | | | | $ | — | | |
Additions to warranty reserve
|
| | | | 2,352 | | | | | | 116 | | |
Claims fulfilled
|
| | | | (977) | | | | | | — | | |
Warranty reserve, at the end of the year
|
| | | $ | 1,491 | | | | | $ | 116 | | |
|
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Work in process
|
| | | $ | 1,081 | | | | | $ | 2,741 | | |
Finished goods
|
| | | | 7,324 | | | | | | 1,241 | | |
| | | | $ | 8,405 | | | | | $ | 3,982 | | |
Asset Classification
|
| |
Useful Life
|
|
Equipment
|
| |
3 – 5 years
|
|
Furniture and fixtures
|
| |
3 years
|
|
Computer equipment
|
| |
3 Years
|
|
Tooling
|
| |
3 Years
|
|
Software
|
| |
3 Years
|
|
Leasehold improvements
|
| |
Shorter of asset’s useful life or remaining life of the lease
|
|
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Equipment
|
| | | $ | 13,358 | | | | | $ | 8,306 | | |
Furniture and fixtures
|
| | | | 895 | | | | | | 875 | | |
Computer equipment
|
| | | | 1,089 | | | | | | 1,045 | | |
Tooling
|
| | | | 1,823 | | | | | | 1,303 | | |
Software
|
| | | | 954 | | | | | | 302 | | |
Leasehold improvements
|
| | | | 13,880 | | | | | | 13,357 | | |
Construction in process
|
| | | | 170 | | | | | | — | | |
Property and equipment – gross
|
| | | | 32,169 | | | | | | 25,188 | | |
Less: accumulated depreciation
|
| | | | (13,782) | | | | | | (6,191) | | |
Property and equipment – net
|
| | | $ | 18,387 | | | | | $ | 18,997 | | |
| | |
Gross
Value |
| |
Estimated
Life |
| |
Accumulated
Amortization |
| |
Balance
December 31, 2019 |
| |||||||||
Total acquired technology
|
| | | $ | 3,270 | | | |
5 years
|
| | | $ | 276 | | | | | $ | 2,994 | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Capitalized software development costs
|
| | | $ | 1,127 | | | | | $ | 806 | | |
Accumulated amortization
|
| | | | (237) | | | | | | (18) | | |
Impairment
|
| | | | (444) | | | | | | — | | |
Total capitalized software costs
|
| | | $ | 446 | | | | | $ | 788 | | |
| | |
December 31, 2019
|
| |||||||||||||||||||||
| | |
Quoted Prices
in Active Markets for Identical Items (Level 1) |
| |
Significant
Other Observable Inputs (Level 2) |
| |
Significant
Unobservable Inputs (Level 3) |
| |
Total
|
| ||||||||||||
Assets: | | | | | | | | | | | | | | | | | | | | | | | | | |
Money market funds
|
| | | $ | 40,454 | | | | | $ | — | | | | | $ | — | | | | | $ | 40,454 | | |
Asset-backed securities
|
| | | | — | | | | | | 16,806 | | | | | | — | | | | | | 16,806 | | |
Corporate bonds
|
| | | | — | | | | | | 67,948 | | | | | | — | | | | | | 67,948 | | |
Other investments
|
| | | | — | | | | | | 25,001 | | | | | | — | | | | | | 25,001 | | |
Total assets
|
| | | $ | 40,454 | | | | | $ | 109,755 | | | | | $ | — | | | | | $ | 150,209 | | |
|
| | |
December 31, 2018
|
| |||||||||||||||||||||
| | |
Quoted Prices
in Active Markets for Identical Items (Level 1) |
| |
Significant
Other Observable Inputs (Level 2) |
| |
Significant
Unobservable Inputs (Level 3) |
| |
Total
|
| ||||||||||||
Assets: | | | | | | | | | | | | | | | | | | | | | | | | | |
Money market funds
|
| | | $ | 24,380 | | | | | $ | — | | | | | $ | — | | | | | $ | 24,380 | | |
Asset-backed securities
|
| | | | — | | | | | | 13,285 | | | | | | — | | | | | | 13,285 | | |
Corporate bonds
|
| | | | — | | | | | | 50,944 | | | | | | — | | | | | | 50,944 | | |
Other investments
|
| | | | — | | | | | | — | | | | | | 450 | | | | | | 450 | | |
Total assets
|
| | | $ | 24,380 | | | | | $ | 64,229 | | | | | $ | 450 | | | | | $ | 89,059 | | |
December 31, 2019
|
| |
Amortized Cost
|
| |
Unrealized Gains
|
| |
Unrealized Losses
|
| |
Fair Value
|
| ||||||||||||
Asset-backed securities
|
| | | $ | 16,786 | | | | | $ | 20 | | | | | $ | — | | | | | $ | 16,806 | | |
Corporate bonds
|
| | | | 67,893 | | | | | | 55 | | | | | | — | | | | | | 67,948 | | |
| | | | $ | 84,679 | | | | | $ | 75 | | | | | $ | — | | | | | $ | 84,754 | | |
|
December 31, 2018
|
| |
Amortized Cost
|
| |
Unrealized Gains
|
| |
Unrealized Losses
|
| |
Fair Value
|
| ||||||||||||
Asset-backed securities
|
| | | $ | 13,350 | | | | | $ | — | | | | | $ | (65) | | | | | $ | 13,285 | | |
Corporate bonds
|
| | | | 50,975 | | | | | | — | | | | | | (31) | | | | | | 50,944 | | |
| | | | $ | 64,325 | | | | | $ | — | | | | | $ | (96) | | | | | $ | 64,229 | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Warranty reserve
|
| | | $ | 1,491 | | | | | $ | 116 | | |
Compensation and benefits related
|
| | | | 897 | | | | | | 278 | | |
Professional services
|
| | | | 780 | | | | | | 517 | | |
Inventory purchases
|
| | | | 620 | | | | | | 381 | | |
Accrued sales and use tax
|
| | | | 578 | | | | | | 4 | | |
Other
|
| | | | 687 | | | | | | 510 | | |
| | | | $ | 5,053 | | | | | $ | 1,806 | | |
| | |
Years Ended December 31,
|
| |||||||||
Lease cost
|
| |
2019
|
| |
2018
|
| ||||||
Operating lease cost
|
| | | $ | 655 | | | | | $ | 627 | | |
Short-term lease cost
|
| | | | 32 | | | | | | 62 | | |
Variable lease cost
|
| | | | 40 | | | | | | 38 | | |
Total lease cost
|
| | | $ | 727 | | | | | $ | 727 | | |
Other Information | | | | | | | | | | | | | |
Operating cash flows from operating leases
|
| | | $ | 951 | | | | | $ | 868 | | |
Weighted-average remaining lease term – operating leases (years)
|
| | | | 4.2 | | | | | | 5.3 | | |
Weighted-average discount rate – operating leases
|
| | | | 7.6% | | | | | | 7.6% | | |
|
2020
|
| | | $ | 1,073 | | |
|
2021
|
| | | | 1,071 | | |
|
2022
|
| | | | 1,069 | | |
|
2023
|
| | | | 1,028 | | |
|
2024
|
| | | | 258 | | |
|
Total lease payments
|
| | | | 4,499 | | |
|
Less amount representing interest
|
| | | | (667) | | |
|
Total lease liability
|
| | | | 3,832 | | |
|
Less current portion of lease liability
|
| | | | (806) | | |
|
Lease liability, net of current portion
|
| | | $ | 3,026 | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
United States
|
| | | $ | (103,596) | | | | | $ | (121,339) | | |
Foreign
|
| | | | — | | | | | | — | | |
Loss before income taxes
|
| | | $ | (103,596) | | | | | $ | (121,339) | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Effective income tax rate: | | | | | | | | | | | | | |
Expected income tax benefit at the federal statutory rate
|
| | | | 21% | | | | | | 21% | | |
State taxes
|
| | | | 6% | | | | | | 6% | | |
Change in valuation allowance
|
| | | | (30)% | | | | | | (26)% | | |
Research and development credit carryover
|
| | | | 2% | | | | | | 3% | | |
Legal proceedings and settlement expense
|
| | | | 0% | | | | | | (4)% | | |
Permanent differences
|
| | | | 1% | | | | | | 0% | | |
Effective income tax rate
|
| | | | 0% | | | | | | 0% | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Deferred tax assets: | | | | | | | | | | | | | |
Federal and state net operating carryforwards
|
| | | $ | 56,333 | | | | | $ | 23,310 | | |
Research and development and other credits
|
| | | | 11,072 | | | | | | 7,567 | | |
Capitalized start-up costs
|
| | | | 17,032 | | | | | | 24,048 | | |
Compensation-related items
|
| | | | 1,286 | | | | | | 568 | | |
Deferred lease liability
|
| | | | 1,111 | | | | | | 1,212 | | |
Other deferred tax assets
|
| | | | 2,068 | | | | | | 379 | | |
Total gross deferred tax asset
|
| | | | 88,902 | | | | | | 57,084 | | |
Valuation allowance
|
| | | | (87,370) | | | | | | (56,405) | | |
Net deferred tax asset
|
| | | | 1,532 | | | | | | 679 | | |
Deferred tax liabilities: | | | | | | | | | | | | | |
Right-of-use asset
|
| | | | (664) | | | | | | (679) | | |
Acquired technology
|
| | | | (868) | | | | | | — | | |
Total deferred tax liabilities
|
| | | | (1,532) | | | | | | (679) | | |
Net deferred tax asset
|
| | | $ | — | | | | | $ | — | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Valuation allowance at beginning of the year
|
| | | $ | 56,405 | | | | | $ | 21,700 | | |
Increases recorded to income tax provision
|
| | | | 30,965 | | | | | | 34,705 | | |
Decreases recorded as a benefit to income tax provision
|
| | | | — | | | | | | — | | |
Increases recorded as an adjustment to equity
|
| | | | — | | | | | | — | | |
Valuation allowance at end of year
|
| | | $ | 87,370 | | | | | $ | 56,405 | | |
| | |
Years Ended December 31,
|
| |||||||||
Convertible Preferred Stock Classes
|
| |
2019
|
| |
2018
|
| ||||||
Series A Convertible Preferred Stock, $0.0001 par value – authorized, issued, and outstanding, 26,189,545 and 26,189,545 shares, (liquidation preference of $106,853 and $88,783 at December 31, 2019 and 2018, respectively)
|
| | | $ | 13,878 | | | | | $ | 13,878 | | |
Series B Convertible Preferred Stock, $0.0001 par value – authorized, issued, and
outstanding, 23,675,035 and 23,675,035 shares (liquidation preference of $96,594 and $80,258 at December 31, 2019 and 2018, respectively) |
| | | | 37,806 | | | | | | 37,806 | | |
Series C Convertible Preferred Stock, $0.0001 par value – authorized, issued, and
outstanding, 13,152,896 and 13,152,896 shares (liquidation preference of $53,664 and $45,000 at December 31, 2019 and 2018, respectively) |
| | | | 44,852 | | | | | | 44,852 | | |
Series D Convertible Preferred Stock, $0.0001 par value – authorized, issued and outstanding, 21,075,193 and 21,075,193 shares (liquidation preference of $180,522 and $180,522 at December 31, 2019 and 2018, respectively)
|
| | | | 180,353 | | | | | | 180,353 | | |
Series E Convertible Preferred Stock, $0.0001 par value – authorized, 13,450,703
shares; issued and outstanding, 13,450,703 and 0 shares (liquidation preference of $134,791 and $0 at December 31, 2019 and 2018, respectively) |
| | | | 134,667 | | | | | | — | | |
Series E-1 Convertible Preferred Stock, $0.0001 par value – authorized, 2,494,737
shares; issued and outstanding, 2,494,737 and 0 shares (liquidation preference of $25,000 and $0 at December 31, 2019 and 2018, respectively) |
| | | | 24,977 | | | | | | — | | |
Total
|
| | | $ | 436,533 | | | | | $ | 276,889 | | |
| | |
Shared subject to
Vesting |
| |
Weighted
Average Purchase Price |
| ||||||
Balance of unvested shares as of January 1, 2019
|
| | | | 9,731 | | | | | | 0.0001 | | |
Issuance of additional shares
|
| | | | 497 | | | | | | 0.0001 | | |
Vested
|
| | | | (5,653) | | | | | | 0.0001 | | |
Balance of unvested shares as of December 31, 2019
|
| | | | 4,575 | | | | | | 0.0001 | | |
| | |
Years Ended December 31,
|
| |||
| | |
2019
|
| |
2018
|
|
Risk-free interest rate
|
| |
1.7% – 2.6%
|
| |
2.7% – 3.0%
|
|
Expected volatility
|
| |
52.7% – 53.6%
|
| |
52.9% – 53.8%
|
|
Expected life (in years)
|
| |
5.6 – 6.1
|
| |
5.3 – 6.1
|
|
Expected dividend yield
|
| |
—
|
| |
—
|
|
Fair value of Common Stock
|
| |
$4.08
|
| |
$3.39
|
|
| | |
Years Ended December 31,
|
| |||
| | |
2019
|
| |
2018
|
|
Risk-free interest rate
|
| |
1.4% – 3.1%
|
| |
2.1% – 3.1%
|
|
Expected volatility
|
| |
52.4% – 61.5%
|
| |
53.7% – 61.5%
|
|
Expected life (in years)
|
| |
6.2 – 10.0
|
| |
7.2 – 10.0
|
|
Expected dividend yield
|
| |
—
|
| |
—
|
|
Fair value of Common Stock
|
| |
$4.08
|
| |
$3.39
|
|
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Research and development
|
| | | $ | 2,713 | | | | | $ | 1,696 | | |
Sales and marketing expense
|
| | | | 1,373 | | | | | | 567 | | |
General and administrative expense
|
| | | | 941 | | | | | | 658 | | |
Cost of sales
|
| | | | 188 | | | | | | 44 | | |
Total stock based compensation expenses
|
| | | $ | 5,215 | | | | | $ | 2,965 | | |
| | |
Number of Shares
|
| |
Weighted-Average
Exercise Price per Share |
| |
Weighted-Average
Remaining Contractual Term (in years) |
| |||||||||
Outstanding at January 1, 2019
|
| | | | 12,007 | | | | | $ | 1.65 | | | | | | 8.21 | | |
Granted
|
| | | | 4,790 | | | | | | 3.98 | | | | | | 9.26 | | |
Exercised
|
| | | | (997) | | | | | | 0.71 | | | | | | 1.68 | | |
Forfeited/expired
|
| | | | (1,008) | | | | | | 1.88 | | | | | | — | | |
Outstanding at December 31, 2019
|
| | | | 14,792 | | | | | | 2.45 | | | | | | 7.84 | | |
Options vested at December 31, 2019
|
| | | | 7,195 | | | | | | 1.52 | | | | | | 6.92 | | |
Options vested or expected to vest at December 31, 2019
|
| | | | 14,555 | | | | | | 2.44 | | | | | | 7.82 | | |
| | |
Years Ended December 31,
|
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Common Stock options outstanding
|
| | | | 14,792 | | | | | | 12,007 | | |
Shares available for issuance under the Plan
|
| | | | 3,894 | | | | | | 565 | | |
Convertible Preferred Stock outstanding
|
| | | | 100,038 | | | | | | 84,093 | | |
Common Stock warrants outstanding
|
| | | | 2,032 | | | | | | 2,000 | | |
Total shares of authorized Common Stock reserved for future issuance
|
| | | | 120,756 | | | | | | 98,665 | | |
| | |
Americas
|
| |
EMEA
|
| |
APAC
|
| |||||||||
Product
|
| | | $ | 12,746 | | | | | $ | 8,430 | | | | | $ | 1,582 | | |
Services
|
| | | | 3,055 | | | | | | 563 | | | | | | 63 | | |
Total
|
| | | $ | 15,801 | | | | | $ | 8,993 | | | | | $ | 1,645 | | |
| | |
Americas
|
| |
EMEA
|
| |
APAC
|
| |||||||||
Product
|
| | | $ | 751 | | | | | $ | — | | | | | $ | — | | |
Services
|
| | | | 283 | | | | | | — | | | | | | — | | |
Total
|
| | | $ | 1,034 | | | | | $ | — | | | | | $ | — | | |
| | |
Years Ended
December 31, |
| |||||||||
| | |
2019
|
| |
2018
|
| ||||||
Revenue recognized at a point in time
|
| | | $ | 22,758 | | | | | $ | 751 | | |
Revenue recognized over time
|
| | | | 3,681 | | | | | | 283 | | |
Total
|
| | | $ | 26,439 | | | | | $ | 1,034 | | |
| | |
Years Ended December 31,
|
| |||||||||
(in thousands, except per share amounts)
|
| |
2019
|
| |
2018
|
| ||||||
Numerator for basic and diluted net loss per share: | | | | | | | | | | | | | |
Net loss attributable to Desktop Metal, Inc. Common Stockholders
|
| | | $ | (103,596) | | | | | $ | (121,339) | | |
Denominator for basic and diluted net loss per share: | | | | | | | | | | | | | |
Weighted average shares
|
| | | | 23,379 | | | | | | 16,495 | | |
Net loss per share – Basic and Diluted
|
| | | $ | (4.43) | | | | | $ | (7.36) | | |
| | |
September 30,
2020 |
| |
December 31,
2019 |
| ||||||
Assets | | | | | | | | | | | | | |
Current assets: | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | | $ | 37,356 | | | | | $ | 66,161 | | |
Short-term investments
|
| | | | 53,180 | | | | | | 84,754 | | |
Accounts receivable, net of allowance for doubtful accounts $0.5 million and $0.2 million
|
| | | | 1,642 | | | | | | 4,523 | | |
Inventory
|
| | | | 10,363 | | | | | | 8,405 | | |
Prepaid expenses and other current assets
|
| | | | 806 | | | | | | 1,888 | | |
Total current assets
|
| | | | 103,347 | | | | | | 165,731 | | |
Restricted cash
|
| | | | 612 | | | | | | 612 | | |
Property and equipment, net
|
| | | | 13,601 | | | | | | 18,387 | | |
Capitalized software, net
|
| | | | 357 | | | | | | 446 | | |
Right-of-use assets
|
| | | | 1,935 | | | | | | 2,289 | | |
Goodwill
|
| | | | 2,252 | | | | | | 2,252 | | |
Acquired technology, net
|
| | | | 2,453 | | | | | | 2,994 | | |
Deferred transaction costs
|
| | | | 2,741 | | | | | | — | | |
Total Assets
|
| | | $ | 127,298 | | | | | $ | 192,711 | | |
Liabilities, Convertible Preferred Stock and Stockholders’ Equity | | | | | | | | | | | | | |
Current liabilities: | | | | | | | | | | | | | |
Accounts payable
|
| | | $ | 6,604 | | | | | $ | 10,228 | | |
Customer deposits
|
| | | | 1,778 | | | | | | 2,325 | | |
Current portion of operating lease liability
|
| | | | 858 | | | | | | 806 | | |
Accrued expenses and other current liabilities
|
| | | | 6,055 | | | | | | 5,053 | | |
Deferred revenue
|
| | | | 1,136 | | | | | | 2,230 | | |
Current portion of long-term debt, net of deferred financing costs
|
| | | | 9,986 | | | | | | — | | |
Total current liabilities
|
| | | | 26,417 | | | | | | 20,642 | | |
Long-term debt, net of deferred financing costs
|
| | | | — | | | | | | 9,972 | | |
Lease liability, net of current portion
|
| | | | 2,375 | | | | | | 3,026 | | |
Total liabilities
|
| | | | 28,792 | | | | | | 33,640 | | |
Commitments and Contingences (Note 9) | | | | | | | | | | | | | |
Convertible Preferred Stock (Note 11)
|
| | | | 436,533 | | | | | | 436,533 | | |
Stockholders’ Equity: | | | | | | | | | | | | | |
Common Stock, $0.0001 par value—authorized, 156,000,000 shares; issued and outstanding, 31,797,295 and 31,388,426 shares at September 30, 2020 and December 31, 2019, respectively (includes unvested 274,467 and 4,575,313 shares of restricted stock)
|
| | | | 3 | | | | | | 3 | | |
Additional paid-in capital
|
| | | | 21,254 | | | | | | 16,722 | | |
Accumulated deficit
|
| | | | (359,289) | | | | | | (294,262) | | |
Accumulated other comprehensive income
|
| | | | 5 | | | | | | 75 | | |
Total Stockholders’ Equity
|
| | | | (338,027) | | | | | | (277,462) | | |
Total Liabilities, Convertible Preferred Stock and Stockholders’ Equity
|
| | | $ | 127,298 | | | | | $ | 192,711 | | |
| | |
Nine Months Ended
September 30, |
| |||||||||
| | |
2020
|
| |
2019
|
| ||||||
Revenues | | | | | | | | | | | | | |
Products
|
| | | $ | 6,113 | | | | | $ | 18,655 | | |
Services
|
| | | | 1,988 | | | | | | 2,221 | | |
Total revenues
|
| | | | 8,101 | | | | | | 20,876 | | |
Cost of sales | | | | | | | | | | | | | |
Products
|
| | | | 18,145 | | | | | | 35,218 | | |
Services
|
| | | | 3,365 | | | | | | 3,300 | | |
Total cost of sales
|
| | | | 21,510 | | | | | | 38,518 | | |
Gross margin
|
| | | | (13,409) | | | | | | (17,642) | | |
Operating expenses: | | | | | | | | | | | | | |
Research and development
|
| | | | 31,362 | | | | | | 40,623 | | |
Sales and marketing
|
| | | | 9,994 | | | | | | 13,927 | | |
General and administrative
|
| | | | 11,004 | | | | | | 8,290 | | |
Total operating expenses
|
| | | | 52,360 | | | | | | 62,840 | | |
Loss from operations
|
| | | | (65,769) | | | | | | (80,482) | | |
Interest expense
|
| | | | (253) | | | | | | (389) | | |
Interest and other income, net
|
| | | | 995 | | | | | | 5,102 | | |
Loss before income taxes
|
| | | | (65,027) | | | | | | (75,769) | | |
Provision for income taxes
|
| | | | — | | | | | | — | | |
Net loss
|
| | | $ | (65,027) | | | | | $ | (75,769) | | |
Net loss per share – basic and diluted
|
| | | $ | (2.21) | | | | | $ | (3.38) | | |
| | |
Nine Months Ended
September 30, |
| |||||||||
| | |
2020
|
| |
2019
|
| ||||||
Net loss
|
| | | $ | (65,027) | | | | | $ | (75,769) | | |
Other comprehensive income, net of taxes: | | | | | | | | | | | | | |
Unrealized (loss) gain on available-for-sale marketable securities, net
|
| | | | (70) | | | | | | 227 | | |
Total comprehensive loss, net of taxes of $0
|
| | | $ | (65,097) | | | | | $ | (75,542) | | |
| | |
Convertible
Preferred Stock |
| |
Common Stock
Voting |
| |
Additional
Paid-in Capital |
| |
Notes
Receivable |
| |
Accumulated
Deficit |
| |
Accumulated
Other Comprehensive (Loss) Income |
| |
Total
Stockholders’ Equity |
| |||||||||||||||||||||||||||||||||
| | |
Shares
|
| |
Amount
|
| |
Shares
|
| |
Amount
|
| ||||||||||||||||||||||||||||||||||||||||||
BALANCE – December 31, 2019
|
| | | | 100,038,109 | | | | | $ | 436,533 | | | | | | 26,813,113 | | | | | $ | 3 | | | | | $ | 16,722 | | | | | $ | — | | | | | $ | (294,262) | | | | | $ | 75 | | | | | $ | (277,462) | | |
Exercise of Common Stock
options |
| | | | — | | | | | | — | | | | | | 408,869 | | | | | | — | | | | | | 255 | | | | | | — | | | | | | — | | | | | | — | | | | | | 255 | | |
Vesting of restricted Common Stock
|
| | | | — | | | | | | — | | | | | | 4,300,846 | | | | | | — | | | | | | 6 | | | | | | — | | | | | | — | | | | | | — | | | | | | 6 | | |
Stock-based compensation
expense |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 4,228 | | | | | | — | | | | | | — | | | | | | — | | | | | | 4,228 | | |
Common Stock warrants issued
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 43 | | | | | | — | | | | | | — | | | | | | — | | | | | | 43 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (65,027) | | | | | | — | | | | | | (65,027) | | |
Other comprehensive income
(loss) |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (70) | | | | | | (70) | | |
BALANCE – September 30, 2020
|
| | | | 100,038,109 | | | | | $ | 436,533 | | | | | | 31,522,828 | | | | | $ | 3 | | | | | $ | 21,254 | | | | | $ | — | | | | | $ | (359,289) | | | | | $ | 5 | | | | | $ | (338,027) | | |
| | |
Convertible
Preferred Stock |
| |
Common Stock
Voting |
| |
Additional
Paid-in Capital |
| |
Notes
Receivable |
| |
Accumulated
Deficit |
| |
Accumulated
Other Comprehensive (Loss) Income |
| |
Total
Stockholders’ Equity |
| |||||||||||||||||||||||||||||||||
| | |
Shares
|
| |
Amount
|
| |
Shares
|
| |
Amount
|
| ||||||||||||||||||||||||||||||||||||||||||
BALANCE – December 31, 2018
|
| | | | 84,092,669 | | | | | $ | 276,889 | | | | | | 19,352,255 | | | | | $ | 2 | | | | | $ | 6,440 | | | | | $ | (249) | | | | | $ | (190,666) | | | | | $ | (96) | | | | | $ | (184,569) | | |
Issuance of Series E Preferred Stock – net of issuance costs ($124)
|
| | | | 13,450,703 | | | | | | 134,667 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Issuance of Series E-1 Preferred Stock – net of issuance costs ($22)
|
| | | | 2,494,737 | | | | | | 24,977 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Exercise of Common Stock
options |
| | | | — | | | | | | — | | | | | | 902,175 | | | | | | — | | | | | | 606 | | | | | | — | | | | | | — | | | | | | — | | | | | | 606 | | |
Vesting of restricted Common Stock
|
| | | | — | | | | | | — | | | | | | 4,221,144 | | | | | | — | | | | | | 6 | | | | | | — | | | | | | — | | | | | | — | | | | | | 6 | | |
Stock-based compensation
expense |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 3,430 | | | | | | — | | | | | | — | | | | | | — | | | | | | 3,430 | | |
Common Stock warrants issued
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 905 | | | | | | — | | | | | | — | | | | | | — | | | | | | 905 | | |
Issuance of Common Stock
for acquisitions |
| | | | — | | | | | | — | | | | | | 873,203 | | | | | | — | | | | | | 3,563 | | | | | | — | | | | | | — | | | | | | — | | | | | | 3,563 | | |
Repayment of notes receivable
|
| | | | | | | | | | | | | | | | (62,610) | | | | | | — | | | | | | (249) | | | | | | 249 | | | | | | — | | | | | | — | | | | | | — | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (75,769) | | | | | | — | | | | | | (75,769) | | |
Other comprehensive income
(loss) |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 227 | | | | | | 227 | | |
BALANCE – September 30, 2019
|
| | | | 100,038,109 | | | | | $ | 436,533 | | | | | | 25,286,167 | | | | | $ | 2 | | | | | $ | 14,701 | | | | | $ | — | | | | | $ | (266,435) | | | | | $ | 131 | | | | | $ | (251,601) | | |
|
| | |
Nine Months Ended September 30,
|
| |||||||||
| | |
2020
|
| |
2019
|
| ||||||
Cash Flows from Operating Activities: | | | | | | | | | | | | | |
Net loss
|
| | | $ | (65,027) | | | | | $ | (75,769) | | |
Adjustments to reconcile net loss to net cash used in operating activities: | | | | | | | | | | | | | |
Depreciation and amortization
|
| | | | 6,525 | | | | | | 5,754 | | |
Stock-based compensation
|
| | | | 4,228 | | | | | | 3,430 | | |
Expense related to Common Stock warrants issued
|
| | | | 43 | | | | | | 905 | | |
Loss (gain) on disposal of property and equipment
|
| | | | 10 | | | | | | (6) | | |
Gain on investment, related to Make Composites, Inc.
|
| | | | — | | | | | | (1,427) | | |
Accretion of discount on investments
|
| | | | 34 | | | | | | (1,443) | | |
Net decrease (increase) in accrued interest related to marketable securities
|
| | | | 162 | | | | | | (175) | | |
Changes in operating assets and liabilities:
|
| | | | | | | | | | | | |
Accounts receivable
|
| | | | 2,881 | | | | | | (7,258) | | |
Inventory
|
| | | | (1,958) | | | | | | (962) | | |
Prepaid expenses and other current assets
|
| | | | 1,082 | | | | | | 1,418 | | |
Accounts payable
|
| | | | (5,467) | | | | | | (2,503) | | |
Accrued expenses and other current liabilities
|
| | | | 444 | | | | | | 2,588 | | |
Customer deposits
|
| | | | (547) | | | | | | 1,383 | | |
Deferred revenue
|
| | | | (1,094) | | | | | | (253) | | |
Change in right of use assets and lease liabilities, net
|
| | | | (243) | | | | | | (222) | | |
Net cash used in operating activities
|
| | | | (58,927) | | | | | | (74,540) | | |
Cash Flows from Investing Activities: | | | | | | | | | | | | | |
Purchases of property and equipment
|
| | | | (1,039) | | | | | | (7,030) | | |
Purchase of marketable securities
|
| | | | (62,810) | | | | | | (215,584) | | |
Proceeds from sales and maturities of marketable securities
|
| | | | 94,116 | | | | | | 174,025 | | |
Cash paid for acquisition, net of cash acquired
|
| | | | — | | | | | | (96) | | |
Net cash provided by (used in) investing activities
|
| | | | 30,267 | | | | | | (48,685) | | |
Cash Flows from Financing Activities | | | | | | | | | | | | | |
Proceeds from Preferred Stock issuances, net of issuance cost
|
| | | | — | | | | | | 159,644 | | |
Proceeds from exercise of stock options
|
| | | | 255 | | | | | | 606 | | |
Proceeds from PPP loan
|
| | | | 5,379 | | | | | | — | | |
Repayment of PPP loan
|
| | | | (5,379) | | | | | | — | | |
Deferred financing costs paid
|
| | | | (400) | | | | | | — | | |
Net cash (used in) provided by financing activities
|
| | | | (145) | | | | | | 160,250 | | |
Net (decrease) increase in cash, cash equivalents, and restricted cash
|
| | | | (28,805) | | | | | | 37,025 | | |
Cash and cash equivalents at beginning of year
|
| | | | 66,161 | | | | | | 29,043 | | |
Restricted cash
|
| | | | 612 | | | | | | 612 | | |
Cash, cash equivalents, and restricted cash at end of period
|
| | | $ | 37,968 | | | | | $ | 66,680 | | |
Supplemental cash flow information: | | | | | | | | | | | | | |
Interest paid
|
| | | $ | 253 | | | | | | 377 | | |
Non-cash investing and financing activities: | | | | | | | | | | | | | |
Common Stock issued for acquisitions
|
| | | $ | — | | | | | $ | 3,563 | | |
Additions to right of use assets and lease liabilities
|
| | | $ | — | | | | | $ | 86 | | |
Purchase of property and equipment included in accrued expenses and other
current liabilities |
| | | $ | 79 | | | | | $ | 867 | | |
Common Stock forfeited in satisfaction of note receivable
|
| | | $ | — | | | | | $ | 249 | | |
Deferred transaction costs not yet paid included in accounts payable and accrued expenses and other current liabilities
|
| | | $ | 2,341 | | | | | $ | — | | |
| | |
September 30, 2020
|
| |
December 31, 2019
|
| ||||||
Warranty reserve, at the beginning of the year
|
| | | $ | 1,491 | | | | | $ | 116 | | |
Additions to warranty reserve
|
| | | | 375 | | | | | | 2,352 | | |
Claims fulfilled
|
| | | | (132) | | | | | | (977) | | |
Warranty reserve, at the end of the period
|
| | | $ | 1,734 | | | | | $ | 1,491 | | |
| | |
September 30, 2020
|
| |
December 31, 2019
|
| ||||||
Work in process
|
| | | $ | 3,062 | | | | | $ | 1,081 | | |
Finished goods
|
| | | | 7,301 | | | | | | 7,324 | | |
| | | | $ | 10,363 | | | | | $ | 8,405 | | |
Asset Classification
|
| |
Useful Life
|
|
Equipment | | |
3-5 years
|
|
Furniture and fixtures
|
| |
3 years
|
|
Computer equipment
|
| |
3 years
|
|
Tooling | | |
3 years
|
|
Software | | |
3 years
|
|
Leasehold improvements
|
| |
Shorter of asset’s useful life or remaining life of the lease
|
|
| | |
September 30, 2020
|
| |
December 31, 2019
|
| ||||||
Equipment
|
| | | $ | 13,502 | | | | | $ | 13,358 | | |
Furniture and fixtures
|
| | | | 895 | | | | | | 895 | | |
Computer equipment
|
| | | | 1,089 | | | | | | 1,089 | | |
Tooling
|
| | | | 1,823 | | | | | | 1,823 | | |
Software
|
| | | | 1,235 | | | | | | 954 | | |
Leasehold improvements
|
| | | | 13,870 | | | | | | 13,880 | | |
Construction in process
|
| | | | 845 | | | | | | 170 | | |
Property and equipment – gross
|
| | | | 33,259 | | | | | | 32,169 | | |
Less: accumulated depreciation
|
| | | | (19,658) | | | | | | (13,782) | | |
Property and equipment – net
|
| | | $ | 13,601 | | | | | $ | 18,387 | | |
|
| | |
Gross Value
|
| |
Estimated Life
|
| |
Accumulated
Amortization |
| |
Balance
September 30, 2020 |
| |||||||||
Total acquired technology
|
| | | $ | 3,270 | | | |
5 years
|
| | | $ | 817 | | | | | $ | 2,453 | | |
| | |
September 30, 2020
|
| |
December 31, 2019
|
| ||||||
Capitalized software development costs
|
| | | $ | 1,127 | | | | | $ | 1,127 | | |
Accumulated amortization
|
| | | | (770) | | | | | | (237) | | |
Impairment
|
| | | | — | | | | | | (444) | | |
Total capitalized software costs
|
| | | $ | 357 | | | | | $ | 446 | | |
| | |
September 30, 2020
|
| |||||||||||||||||||||
| | |
Quoted Prices in
Active Markets for Identical Items (Level 1) |
| |
Significant
Other Observable Inputs (Level 2) |
| |
Significant
Unobservable Inputs (Level 3) |
| |
Total
|
| ||||||||||||
Assets: | | | | | | | | | | | | | | | | | | | | | | | | | |
Money market funds
|
| | | $ | 33,858 | | | | | $ | — | | | | | $ | — | | | | | $ | 33,858 | | |
Asset-backed securities
|
| | | | — | | | | | | 3,105 | | | | | | — | | | | | | 3,105 | | |
Corporate bonds
|
| | | | — | | | | | | 30,084 | | | | | | — | | | | | | 30,084 | | |
Government bonds
|
| | | | 19,991 | | | | | | — | | | | | | — | | | | | | 19,991 | | |
Total assets
|
| | | $ | 53,849 | | | | | $ | 33,189 | | | | | $ | — | | | | | $ | 87,038 | | |
|
| | |
December 31, 2019
|
| |||||||||||||||||||||
| | |
Quoted Prices in
Active Markets for Identical Items (Level 1) |
| |
Significant
Other Observable Inputs (Level 2) |
| |
Significant
Unobservable Inputs (Level 3) |
| |
Total
|
| ||||||||||||
Assets: | | | | | | | | | | | | | | | | | | | | | | | | | |
Money market funds
|
| | | $ | 40,454 | | | | | $ | — | | | | | $ | — | | | | | $ | 40,454 | | |
Asset-backed securities
|
| | | | — | | | | | | 16,806 | | | | | | — | | | | | | 16,806 | | |
Corporate bonds
|
| | | | — | | | | | | 67,948 | | | | | | — | | | | | | 67,948 | | |
Repurchase agreements
|
| | | | — | | | | | | 25,001 | | | | | | — | | | | | | 25,001 | | |
Total assets
|
| | | $ | 40,454 | | | | | $ | 109,755 | | | | | $ | — | | | | | $ | 150,209 | | |
| | |
September 30, 2020
|
| |
December 31, 2019
|
| ||||||
Warranty reserve
|
| | | $ | 1,734 | | | | | $ | 1,491 | | |
Compensation and benefits related
|
| | | | 657 | | | | | | 897 | | |
Professional services
|
| | | | 2,043 | | | | | | 780 | | |
Inventory purchases
|
| | | | 86 | | | | | | 620 | | |
Accrued sales and use tax
|
| | | | 470 | | | | | | 578 | | |
Transaction costs payable
|
| | | | 577 | | | | | | — | | |
Other
|
| | | | 488 | | | | | | 687 | | |
| | | | $ | 6,055 | | | | | $ | 5,053 | | |
| | |
September 30,
|
| |||||||||
| | |
2020
|
| |
2019
|
| ||||||
Lease cost | | | | | | | | | | | | | |
Operating lease cost
|
| | | $ | 561 | | | | | $ | 479 | | |
Short-term lease cost
|
| | | | — | | | | | | 24 | | |
Variable lease cost
|
| | | | 30 | | | | | | 30 | | |
Total lease cost
|
| | | $ | 591 | | | | | $ | 533 | | |
Other Information | | | | | | | | | | | | | |
Operating cash flows from operating leases
|
| | | $ | 805 | | | | | $ | 701 | | |
Weighted-average remaining lease term – operating leases (years)
|
| | | | 3.5 | | | | | | 4.5 | | |
Weighted-average discount rate – operating leases
|
| | | | 7.6% | | | | | | 7.6% | | |
|
2020 (remaining 3 months)
|
| | | $ | 268 | | |
|
2021
|
| | | | 1,071 | | |
|
2022
|
| | | | 1,070 | | |
|
2023
|
| | | | 1,028 | | |
|
2024
|
| | | | 258 | | |
|
Total lease payments
|
| | | | 3,695 | | |
|
Less amount representing interest
|
| | | | (462) | | |
|
Total lease liability
|
| | | | 3,233 | | |
|
Less current portion of lease liability
|
| | | | (858) | | |
|
Lease liability, net of current portion
|
| | | $ | 2,375 | | |
Convertible Preferred Stock Classes
|
| |
September 30, 2020
|
| |
December 31, 2019
|
| ||||||
Series A Convertible Preferred Stock, $0.0001 par value – authorized, issued, and outstanding, 26,189,545 and 26,189,545 shares, (liquidation preference of $255,348 and $106,853 at September 30, 2020 and December 31, 2019, respectively)
|
| | | $ | 13,878 | | | | | $ | 13,878 | | |
Series B Convertible Preferred Stock, $0.0001 par value – authorized, issued, and outstanding, 23,675,035 and 23,675,035 shares (liquidation preference of $230,832 and $96,594 at September 30, 2020 and December 31, 2019, respectively)
|
| | | | 37,806 | | | | | | 37,806 | | |
Series C Convertible Preferred Stock, $0.0001 par value – authorized, issued, and outstanding, 13,152,896 and 13,152,896 shares (liquidation preference of $128,241 and $53,664 at September 30, 2020 and December 31, 2019, respectively)
|
| | | | 44,852 | | | | | | 44,852 | | |
Series D Convertible Preferred Stock, $0.0001 par value – authorized, issued, and outstanding, 21,075,193 and 21,075,193 shares (liquidation preference of $205,483 and $180,522 at September 30, 2020 and December 31, 2019, respectively)
|
| | | | 180,353 | | | | | | 180,353 | | |
Series E Convertible Preferred Stock, $0.0001 par value – authorized, issued, and outstanding 13,450,703 and 13,450,703 shares (liquidation preference of $134,791 and $134,791 at September 30, 2020 and December 31, 2019, respectively)
|
| | | | 134,667 | | | | | | 134,667 | | |
Series E-1 Convertible Preferred Stock, $0.0001 par value – authorized,
issued, and outstanding 2,494,737 and 2,494,737 shares (liquidation preference of $25,000 and $25,000 at September 30, 2020 and December 31, 2019, respectively) |
| | | | 24,977 | | | | | | 24,977 | | |
Total
|
| | | $ | 436,533 | | | | | $ | 436,533 | | |
| | |
Shares subject
to Vesting |
| |
Weighted Average
Purchase Price |
| ||||||
Balance of unvested shares as of January 1, 2020
|
| | | | 4,575 | | | | | $ | 0.001 | | |
Issuance of additional shares
|
| | | | — | | | | | | — | | |
Vested
|
| | | | (4,301) | | | | | | 0.001 | | |
Balance of unvested shares as of September 30, 2020
|
| | | | 274 | | | | | $ | 0.001 | | |
| | |
September 30, 2020
|
| |
September 30, 2019
|
|
Risk-free interest rate
|
| |
0.3% – 1.7%
|
| |
1.9% – 2.6%
|
|
Expected volatility
|
| |
52.7% – 54.2%
|
| |
53.3% – 53.6%
|
|
Expected life (in years)
|
| |
5.9 – 6.3
|
| |
5.6 – 6.1
|
|
Expected dividend yield
|
| |
—
|
| |
—
|
|
Fair value of Common Stock
|
| |
$1.71 – $9.75
|
| |
$4.08
|
|
| | |
September 30, 2020
|
| |
September 30, 2019
|
|
Risk-free interest rate
|
| |
0.6% – 0.8%
|
| |
1.5% – 2.5%
|
|
Expected volatility
|
| |
54.3% – 54.8%
|
| |
54.4% – 54.9%
|
|
Expected life (in years)
|
| |
9.4 – 10.0
|
| |
9.4 – 10.0
|
|
Expected dividend yield
|
| |
—
|
| |
—
|
|
Fair value of Common Stock
|
| |
$1.71 – $9.75
|
| |
$4.08
|
|
| | |
September 30,
|
| |||||||||
| | |
2020
|
| |
2019
|
| ||||||
Research and development
|
| | | $ | 2,176 | | | | | $ | 1,501 | | |
Sales and marketing expense
|
| | | | 715 | | | | | | 1,020 | | |
General and administrative expense
|
| | | | 1,070 | | | | | | 668 | | |
Cost of sales
|
| | | | 267 | | | | | | 241 | | |
Total stock-based compensation expenses
|
| | | $ | 4,228 | | | | | $ | 3,430 | | |
|
| | |
Number of
Shares |
| |
Weighted-Average
Exercise Price per Share |
| |
Weighted-Average
Remaining Contractual Term (in years) |
| |||||||||
Outstanding at January 1, 2020
|
| | | | 14,792 | | | | | $ | 2.45 | | | | | | 7.84 | | |
Granted
|
| | | | 6,935 | | | | | | 1.85 | | | | | | | | |
Exercised
|
| | | | (409) | | | | | | 0.65 | | | | | | | | |
Forfeited/expired
|
| | | | (5,287) | | | | | | 3.57 | | | | | | | | |
Outstanding at September 30, 2020
|
| | | | 16,031 | | | | | | 1.87 | | | | | | 7.85 | | |
Options vested at September 30, 2020
|
| | | | 8,167 | | | | | | 1.83 | | | | | | 6.38 | | |
Options vested or expected to vest at September 30, 2020
|
| | | | 15,384 | | | | | $ | 1.87 | | | | | | 7.78 | | |
| | |
Shares subject
to Vesting |
| |
Weighted Average
Grant Date Fair Value |
| ||||||
Balance of unvested shares as of January 1, 2020
|
| | | | — | | | | | | — | | |
Issuance of additional shares
|
| | | | 459 | | | | | $ | 9.75 | | |
Vested
|
| | | | — | | | | | | — | | |
Balance of unvested shares as of September 30, 2020
|
| | | | 459 | | | | | $ | 9.75 | | |
|
| | |
September 30, 2020
|
| |
September 30, 2019
|
| ||||||
Common Stock options outstanding
|
| | | | 16,031 | | | | | | 14,490 | | |
Restricted Stock units outstanding
|
| | | | 459 | | | | | | — | | |
Shares available for issuance under the Plan
|
| | | | 1,960 | | | | | | 4,463 | | |
Convertible Preferred Stock outstanding
|
| | | | 100,038 | | | | | | 100,038 | | |
Common Stock warrants outstanding
|
| | | | 919 | | | | | | 464 | | |
Total shares of authorized Common Stock reserved for future issuance
|
| | | | 119,407 | | | | | | 119,455 | | |
| | |
Americas
|
| |
EMEA
|
| |
APAC
|
| |
Total
|
| ||||||||||||
Product
|
| | | $ | 2,372 | | | | | $ | 2,411 | | | | | $ | 1,330 | | | | | $ | 6,113 | | |
Services
|
| | | | 962 | | | | | | 888 | | | | | | 138 | | | | | | 1,988 | | |
Total
|
| | | $ | 3,334 | | | | | $ | 3,299 | | | | | $ | 1,468 | | | | | $ | 8,101 | | |
| | |
Americas
|
| |
EMEA
|
| |
APAC
|
| |
Total
|
| ||||||||||||
Product
|
| | | $ | 11,561 | | | | | $ | 5,909 | | | | | $ | 1,185 | | | | | $ | 18,655 | | |
Services
|
| | | | 1,851 | | | | | | 341 | | | | | | 29 | | | | | | 2,221 | | |
Total
|
| | | $ | 13,412 | | | | | $ | 6,250 | | | | | $ | 1,214 | | | | | $ | 20,876 | | |
|
| | |
Nine Months Ended
September 30, |
| |||||||||
| | |
2020
|
| |
2019
|
| ||||||
Revenue recognized at a point in time
|
| | | $ | 6,113 | | | | | $ | 18,655 | | |
Revenue recognized over time
|
| | | | 1,988 | | | | | | 2,221 | | |
Total
|
| | | $ | 8,101 | | | | | $ | 20,876 | | |
| | |
September 30,
|
| |||||||||
(in thousands, except per share amounts)
|
| |
2020
|
| |
2019
|
| ||||||
Numerator for basic and diluted net loss per share: | | | | | | | | | | | | | |
Net loss attributable to Desktop Metal, Inc Common Stockholders
|
| | | $ | (65,027) | | | | | $ | (75,769) | | |
Denominator for basic and diluted net loss per share: | | | | | | | | | | | | | |
Weighted average shares
|
| | | | 29,457 | | | | | | 22,395 | | |
Net loss per share – Basic and Diluted
|
| | | $ | (2.21) | | | | | $ | (3.38) | | |
December 31,
|
| |
2019
|
| |
2018
|
| ||||||
Assets | | | | | | | | | | | | | |
Current Assets | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | |
$
|
14,865
|
| | | | $ | 16,927 | | |
Trade accounts receivable, less allowance for doubtful accounts of $755 and $644 in
2019 and 2018 |
| | |
|
3,310
|
| | | | | 3,010 | | |
Inventories
|
| | |
|
8,885
|
| | | | | 9,029 | | |
Prepaid expenses and other current assets
|
| | |
|
3,660
|
| | | | | 3,490 | | |
Total Current Assets
|
| | |
|
30,720
|
| | | | | 32,456 | | |
Property and Equipment, Net
|
| | |
|
1,719
|
| | | | | 1,867 | | |
Intangible Asset, Net
|
| | |
|
594
|
| | | | | 642 | | |
Total Assets
|
| | |
$
|
33,033
|
| | | | $ | 34,965 | | |
Liabilities and Equity | | | | | | | | | | | | | |
Current Liabilities | | | | | | | | | | | | | |
Trade accounts payable
|
| | |
$
|
2,461
|
| | | | $ | 1,735 | | |
Deferred revenue and customer deposits
|
| | |
|
2,175
|
| | | | | 3,055 | | |
Income taxes payable
|
| | |
|
427
|
| | | | | 387 | | |
Related party loan payable
|
| | |
|
600
|
| | | | | — | | |
Accrued expenses and other current liabilities
|
| | |
|
1,993
|
| | | | | 2,975 | | |
Total Current Liabilities
|
| | |
|
7,656
|
| | | | | 8,152 | | |
Stockholders’ Equity | | | | | | | | | | | | | |
Contributed capital
|
| | |
|
443
|
| | | | | 443 | | |
Retained earnings
|
| | |
|
28,517
|
| | | | | 29,074 | | |
Accumulated other comprehensive loss
|
| | |
|
(3,583)
|
| | | | | (2,704) | | |
Total Stockholders’ Equity
|
| | |
|
25,377
|
| | | | | 26,813 | | |
Total Liabilities and Stockholders’ Equity
|
| | |
$
|
33,033
|
| | | | $ | 34,965 | | |
Year ended December 31,
|
| |
2019
|
| |
2018
|
| ||||||
Net Revenue
|
| | |
$
|
34,582
|
| | | | $ | 34,512 | | |
Cost of Goods Sold
|
| | |
|
20,874
|
| | | | | 18,777 | | |
Gross Profit
|
| | |
|
13,708
|
| | | | | 15,735 | | |
Operating Expenses | | | | | | | | | | | | | |
Selling, general and administrative
|
| | |
|
9,839
|
| | | | | 12,742 | | |
Research and development
|
| | |
|
4,706
|
| | | | | 5,579 | | |
Total Operating Expenses
|
| | |
|
14,545
|
| | | | | 18,321 | | |
Loss from Operations
|
| | |
|
(837)
|
| | | | | (2,586) | | |
Other Income
|
| | |
|
302
|
| | | | | 225 | | |
Loss Before Taxes
|
| | |
|
(535)
|
| | | | | (2,361) | | |
Income Taxes
|
| | |
|
(22)
|
| | | | | (134) | | |
Net Loss
|
| | |
|
(557)
|
| | | | | (2,495) | | |
Other Comprehensive Loss | | | | | | | | | | | | | |
Foreign currency translation
|
| | |
|
(879)
|
| | | | | (878) | | |
Comprehensive Loss
|
| | |
$
|
(1,436)
|
| | | | $ | (3,373) | | |
| | |
Contributed
Capital |
| |
Retained
Earnings |
| |
Accumulated
Other Comprehensive Loss |
| |
Total
Stockholders’ Equity |
| ||||||||||||
Balance, January 1, 2018
|
| | | $ | 43 | | | | | $ | 31,969 | | | | | $ | (1,826) | | | | | $ | 30,186 | | |
Contribution
|
| | | | 400 | | | | | | — | | | | | | — | | | | | | 400 | | |
Distribution to stockholder
|
| | | | — | | | | | | (400) | | | | | | — | | | | | | (400) | | |
Net loss
|
| | | | — | | | | | | (2,495) | | | | | | — | | | | | | (2,495) | | |
Other comprehensive loss
|
| | | | — | | | | | | — | | | | | | (878) | | | | | | (878) | | |
Balance, December 31, 2018
|
| | | | 443 | | | | | | 29,074 | | | | | | (2,704) | | | | | | 26,813 | | |
Net loss
|
| | | | — | | | | | | (557) | | | | | | — | | | | | | (557) | | |
Other comprehensive loss
|
| | | | — | | | | | | — | | | | | | (879) | | | | | | (879) | | |
Balance, December 31, 2019
|
| | | $ | 443 | | | | | $ | 28,517 | | | | | $ | (3,583) | | | | | $ | 25,377 | | |
Year ended December 31,
|
| |
2019
|
| |
2018
|
| ||||||
Operating Activities | | | | | | | | | | | | | |
Net loss
|
| | |
$
|
(557)
|
| | | | $ | (2,495) | | |
Adjustments to reconcile net loss to net cash provided by
operating activities: |
| | | | | | | | | | | | |
Depreciation
|
| | |
|
719
|
| | | | | 913 | | |
Amortization
|
| | |
|
49
|
| | | | | 48 | | |
Provision for bad debt
|
| | |
|
(308)
|
| | | | | 606 | | |
Loss (gain) on sale of property and equipment
|
| | |
|
205
|
| | | | | (67) | | |
Changes in operating assets and liabilities:
|
| | | | | | | | | | | | |
Trade accounts receivable
|
| | |
|
8
|
| | | | | (557) | | |
Inventories
|
| | |
|
144
|
| | | | | (1,861) | | |
Prepaid expenses and other current assets
|
| | |
|
(170)
|
| | | | | (1,170) | | |
Trade accounts payable
|
| | |
|
726
|
| | | | | 1,239 | | |
Deferred revenue and customer deposits
|
| | |
|
(880)
|
| | | | | 105 | | |
Income taxes payable
|
| | |
|
40
|
| | | | | 152 | | |
Accrued expenses and other current liabilities
|
| | |
|
(982)
|
| | | | | 235 | | |
Net cash used in operating activities
|
| | |
|
(1,006)
|
| | | | | (2,852) | | |
Investing Activities | | | | | | | | | | | | | |
Property and equipment purchases
|
| | |
|
(777)
|
| | | | | (381) | | |
Distribution to stockholder
|
| | |
|
—
|
| | | | | (400) | | |
Contribution
|
| | |
|
—
|
| | | | | 400 | | |
Net cash used in investing activities
|
| | |
|
(777)
|
| | | | | (381) | | |
Financing Activities | | | | | | | | | | | | | |
Related party loans
|
| | |
|
600
|
| | | | | — | | |
Effect of Currency Translation on Cash and Cash Equivalents
|
| | |
|
(879)
|
| | | | | (765) | | |
Net Decrease in Cash and Cash Equivalents
|
| | |
|
(2,062)
|
| | | | | (3,998) | | |
Cash and Cash Equivalents, beginning of year
|
| | |
|
16,927
|
| | | | | 20,925 | | |
Cash and Cash Equivalents, end of year
|
| | |
$
|
14,865
|
| | | | $ | 16,927 | | |
Supplemental Cash Flow Information: | | | | | | | | | | | | | |
Cash paid for income taxes, net of refunds
|
| | |
$
|
149
|
| | | | $ | 1,285 | | |
| | |
Common
Stock Issued and Outstanding |
| |||
EnvisionTEC, Inc.
|
| | | | 10 | | |
EnvisionTEC GmbH
|
| | | | 22 | | |
Viridis3D
|
| | | | 60 | | |
Gulf Filtration Systems, Inc.
|
| | | | 1 | | |
December 31,
|
| |
2019
|
| |
2018
|
| ||||||
(in thousands)
|
| | | | | | | | | | | | |
Raw materials and components
|
| | |
$
|
6,737
|
| | | | $ | 6,423 | | |
Work in progress
|
| | |
|
71
|
| | | | | 173 | | |
Finished goods
|
| | |
|
2,077
|
| | | | | 2,433 | | |
Total
|
| | |
$
|
8,885
|
| | | | $ | 9,029 | | |
December 31,
|
| |
2019
|
| |
2018
|
| ||||||
(in thousands)
|
| | | | | | | | | | | | |
Prepaid import taxes
|
| | |
$
|
2,942
|
| | | | $ | 2,808 | | |
Other receivables
|
| | |
|
2
|
| | | | | 16 | | |
Other
|
| | |
|
716
|
| | | | | 666 | | |
Total
|
| | |
$
|
3,660
|
| | | | $ | 3,490 | | |
December 31
|
| |
2019
|
| |
2018
|
| |
Useful Life
(in years) |
| ||||||
(in thousands)
|
| | | | | | | | | | | | | | | |
Machinery and equipment
|
| | |
$
|
3,333
|
| | | | $ | 3,517 | | | |
3 – 7
|
|
Computer equipment and software
|
| | |
|
1,022
|
| | | | | 1,032 | | | |
3
|
|
Leasehold improvements
|
| | |
|
695
|
| | | | | 706 | | | |
1
|
|
Other
|
| | |
|
271
|
| | | | | 264 | | | |
1 – 25
|
|
Property and Equipment
|
| | |
|
5,321
|
| | | | | 5,519 | | | | | |
Less: accumulated depreciation
|
| | |
|
(3,602)
|
| | | | | (3,652) | | | | | |
Property and Equipment, Net
|
| | |
$
|
1,719
|
| | | | $ | 1,867 | | | | | |
December 31
|
| |
2019
|
| |
2018
|
| |
Weighted
Average Useful Life (in years) |
| ||||||
(in thousands)
|
| | | | | | | | | | | | | | | |
Acquired Technology
|
| | |
$
|
781
|
| | | | $ | 781 | | | |
12
|
|
Less: accumulated amortization
|
| | |
|
(187)
|
| | | | | (138) | | | | | |
Intangible Assets, Net
|
| | |
$
|
594
|
| | | | $ | 643 | | | | | |
December 31,
|
| |
2019
|
| |
2018
|
| ||||||
(in thousands)
|
| | | | | | | | | | | | |
Other tax withholdings
|
| | |
$
|
37
|
| | | | $ | 77 | | |
Warranty
|
| | |
|
482
|
| | | | | 467 | | |
Payroll related liabilities
|
| | |
|
528
|
| | | | | 571 | | |
Customer deposits and other
|
| | |
|
946
|
| | | | | 1,860 | | |
Total
|
| | |
$
|
1,993
|
| | | | $ | 2,975 | | |
December 31,
|
| |
2019
|
| |
2018
|
| ||||||
(in thousands)
|
| | | | | | | | | | | | |
U.S. federal
|
| | |
$
|
—
|
| | | | $ | — | | |
State and local
|
| | |
|
21
|
| | | | | 148 | | |
Foreign
|
| | |
|
—
|
| | | | | (14) | | |
Total Income Taxes
|
| | |
$
|
22
|
| | | | $ | 134 | | |
| | |
September 30,
2020 |
| |
December 31,
2019 |
| ||||||
Assets | | | | | | | | | | | | | |
Current Assets | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | |
$
|
24,987
|
| | | | $ | 14,865 | | |
Trade accounts receivable, less allowance for doubtful accounts of
$836 and $755 in 2020 and 2019 |
| | |
|
5,480
|
| | | | | 3,310 | | |
Inventories
|
| | |
|
8,973
|
| | | | | 8,885 | | |
Prepaid expenses and other current assets
|
| | |
|
1,083
|
| | | | | 3,660 | | |
Total Current Assets
|
| | |
|
40,523
|
| | | | | 30,720 | | |
Property, Plant and Equipment, Net
|
| | |
|
1,676
|
| | | | | 1,719 | | |
Related party loan receivable
|
| | | | 1,980 | | | | |
|
—
|
| |
Intangible Asset, Net
|
| | |
|
557
|
| | | | | 594 | | |
Total Assets
|
| | |
$
|
44,736
|
| | | | $ | 33,033 | | |
Liabilities and Equity | | | | | | | | | | | | | |
Current Liabilities | | | | | | | | | | | | | |
Trade accounts payable
|
| | |
$
|
1,580
|
| | | | $ | 2,461 | | |
Deferred revenue
|
| | |
|
2,042
|
| | | | | 2,175 | | |
Accrued expenses and other current liabilities
|
| | |
|
2,943
|
| | | | | 2,420 | | |
Related party loan payable
|
| | |
|
200
|
| | | | | 600 | | |
Total Current Liabilities
|
| | |
|
6,765
|
| | | | | 7,656 | | |
Long-term debt
|
| | |
|
1,176
|
| | | | | — | | |
Total Liabilities
|
| | |
|
7,941
|
| | | | | 7,656 | | |
Stockholders’ Equity | | | | | | | | | | | | | |
Contributed capital
|
| | |
|
443
|
| | | | | 443 | | |
Retained earnings
|
| | |
|
38,588
|
| | | | | 28,517 | | |
Accumulated other comprehensive loss
|
| | |
|
(2,236)
|
| | | | | (3,583) | | |
Total Stockholders’ Equity
|
| | |
|
36,795
|
| | | | | 25,377 | | |
Total Liabilities and Stockholders’ Equity
|
| | |
$
|
44,736
|
| | | | $ | 33,033 | | |
September 30,
|
| |
2020
|
| |
2019
|
| ||||||
Net Revenue
|
| | |
$
|
32,611
|
| | | | $ | 24,419 | | |
Cost of Goods Sold
|
| | |
|
13,557
|
| | | | | 14,678 | | |
Gross Profit
|
| | |
|
19,054
|
| | | | | 9,741 | | |
Operating Expenses | | | | | | | | | | | | | |
Research and development
|
| | |
|
3,186
|
| | | | | 3,425 | | |
Selling, general and administrative
|
| | |
|
5,889
|
| | | | | 7,623 | | |
Total Operating Expenses
|
| | |
|
9,075
|
| | | | | 11,048 | | |
Operating Profit (Loss)
|
| | |
|
9,979
|
| | | | | (1,307) | | |
Other Income
|
| | |
|
511
|
| | | | | 268 | | |
Income (Loss) Before Taxes
|
| | |
|
10,490
|
| | | | | (1,039) | | |
Income Taxes
|
| | |
|
(420)
|
| | | | | (45) | | |
Net Income (Loss)
|
| | |
|
10,070
|
| | | | | (1,084) | | |
Other Comprehensive Gain (Loss) | | | | | | | | | | | | | |
Foreign currency translation
|
| | |
|
1,348
|
| | | | | (616) | | |
Comprehensive Income (Loss)
|
| | |
$
|
11,418
|
| | | | $ | (1,700) | | |
| | |
Contributed
Capital |
| |
Retained
Earnings |
| |
Accumulated
Other Comprehensive Loss |
| |
Total
Stockholders’ Equity |
| ||||||||||||
Balance, January 1, 2019
|
| | | $ | 443 | | | | | $ | 29,074 | | | | | $ | (2,704) | | | | | $ | 26,813 | | |
Net loss
|
| | | | — | | | | | | (1,084) | | | | | | — | | | | | | (1,084) | | |
Other comprehensive loss
|
| | | | — | | | | | | — | | | | | | (616) | | | | | | (616) | | |
Balance, September 30, 2019
|
| | | $ | 443 | | | | | $ | 27,990 | | | | | $ | (3,320) | | | | | $ | 25,113 | | |
Balance, January 1, 2020
|
| | | $ | 443 | | | | | $ | 28,518 | | | | | $ | (3,584) | | | | | $ | 25,377 | | |
Net income
|
| | | | — | | | | | | 10,070 | | | | | | — | | | | | | 10,070 | | |
Other comprehensive income
|
| | | | — | | | | | | — | | | | | | 1,348 | | | | | | 1,348 | | |
Balance, September 30, 2020
|
| | | $ | 443 | | | | | $ | 38,588 | | | | | $ | (2,236) | | | | | $ | 36,795 | | |
Nine months ended September 30,
|
| |
2020
|
| |
2019
|
| ||||||
Operating Activities | | | | | | | | | | | | | |
Net income (loss)
|
| | |
$
|
10,070
|
| | | | $ | (1,084) | | |
Adjustments to reconcile net income (loss) to net cash provided by
operating activities: |
| | | | | | | | | | | | |
Depreciation
|
| | |
|
304
|
| | | | | 497 | | |
Amortization
|
| | |
|
37
|
| | | | | 37 | | |
Provision for bad debt
|
| | |
|
135
|
| | | | | 69 | | |
Loss on sale of property and equipment
|
| | |
|
6
|
| | | | | 132 | | |
Changes in operating assets and liabilities:
|
| | | | | | | | | | | | |
Trade accounts receivable
|
| | |
|
(2,550)
|
| | | | | (1,316) | | |
Inventories
|
| | |
|
(87)
|
| | | | | (2,002) | | |
Prepaid expenses and other current assets
|
| | |
|
2,576
|
| | | | | (112) | | |
Trade accounts payable
|
| | |
|
(881)
|
| | | | | 947 | | |
Deferred revenue and customer deposits
|
| | |
|
(133)
|
| | | | | (15) | | |
Income taxes payable
|
| | |
|
28
|
| | | | | 28 | | |
Accrued expenses and other current liabilities
|
| | |
|
419
|
| | | | | (149) | | |
Net cash provided by (used in) operating activities
|
| | |
|
10,224
|
| | | | | (2,968) | | |
Investing Activities | | | | | | | | | | | | | |
Property and equipment purchases
|
| | |
|
(246)
|
| | | | | (434) | | |
Advance to related party
|
| | |
|
(1,980)
|
| | | | | — | | |
Net cash used in investing activities
|
| | |
|
(2,226)
|
| | | | | (434) | | |
Financing Activities
|
| | | | | | | | | | | | |
Proceeds from long-term borrowings
|
| | |
|
1,176
|
| | | | | — | | |
Proceeds from related party loans
|
| | |
|
—
|
| | | | | 600 | | |
Payment of related party loans
|
| | |
|
(400)
|
| | | | | — | | |
Net cash provided by (used in) financing activities
|
| | |
|
776
|
| | | | | 600 | | |
Effect of Currency Translation on Cash and Cash Equivalents
|
| | |
|
1,348
|
| | | | | (616) | | |
Net Increase (Decrease) in Cash and Cash Equivalents
|
| | |
|
10,122
|
| | | | | (3,418) | | |
Cash and Cash Equivalents, beginning of period
|
| | |
|
14,865
|
| | | | | 16,927 | | |
Cash and Cash Equivalents, end of period
|
| | |
$
|
24,987
|
| | | | $ | 13,509 | | |
Supplemental Cash Flow Information: | | | | | | | | | | | | | |
Cash paid for income taxes, net of refunds
|
| | |
$
|
(2,584)
|
| | | | $ | 162 | | |
| | |
Common
Stock Issued and Outstanding |
| |||
EnvisionTEC, Inc.
|
| | | | 10 | | |
EnvisionTEC GmbH
|
| | | | 22 | | |
Viridis3D
|
| | | | 60 | | |
Gulf Filtration Systems, Inc.
|
| | | | 1 | | |
(in thousands)
|
| |
September 30,
2020 |
| |
December 31,
2019 |
| ||||||
Raw materials and components
|
| | |
$
|
5,678
|
| | | | $ | 6,737 | | |
Work in progress
|
| | |
|
122
|
| | | | | 71 | | |
Finished goods
|
| | |
|
3,173
|
| | | | | 2,077 | | |
Total
|
| | |
$
|
8,973
|
| | | | $ | 8,885 | | |
(in thousands)
|
| |
September 30,
2020 |
| |
December 31,
2019 |
| ||||||
Prepaid import taxes
|
| | |
$
|
—
|
| | | | $ | 2,942 | | |
Other receivables
|
| | |
|
372
|
| | | | | 2 | | |
Other
|
| | |
|
711
|
| | | | | 716 | | |
Total
|
| | |
$
|
1,083
|
| | | | $ | 3,660 | | |
(in thousands)
|
| |
September 30,
2020 |
| |
December 31,
2019 |
| |
Useful Life
(in years) |
| | | | ||||||
Machinery and equipment
|
| | |
$
|
3,624
|
| | | | $ | 3,333 | | | |
3 – 7
|
| | | |
Computer equipment and software
|
| | |
|
1,053
|
| | | | | 1,022 | | | |
3
|
| | | |
Leasehold improvements
|
| | |
|
652
|
| | | | | 695 | | | |
1
|
| | | |
Other
|
| | |
|
312
|
| | | | | 271 | | | |
1 – 25
|
| | | |
Property and Equipment
|
| | |
|
5,641
|
| | | | | 5,321 | | | | | | | | |
Less: accumulated depreciation
|
| | |
|
(3,965)
|
| | | | | (3,602) | | | | | | | | |
Property and Equipment, Net
|
| | |
$
|
1,676
|
| | | | $ | 1,719 | | | | | | | | |
(in thousands)
|
| |
September 30,
2020 |
| |
December 31,
2019 |
| |
Weighted
Average Useful Life (in years) |
| | ||||||||
Acquired Technology
|
| | |
$
|
781
|
| | | | $ | 781 | | | |
12
|
| | | |
Less: accumulated amortization
|
| | |
|
(224)
|
| | | | | (187) | | | | | | | | |
Intangible Assets, Net
|
| | |
$
|
557
|
| | | | $ | 594 | | | | | | | | |
(in thousands)
|
| |
September 30,
2020 |
| |
December 31,
2019 |
| ||||||
Other tax withholdings
|
| | |
$
|
1,333
|
| | | | $ | 464 | | |
Warranty
|
| | |
|
284
|
| | | | | 482 | | |
Payroll related liabilities
|
| | |
|
217
|
| | | | | 528 | | |
Customer deposits and other
|
| | |
|
1,109
|
| | | | | 946 | | |
Total
|
| | |
$
|
2,943
|
| | | | $ | 2,420 | | |
September 30,
(in thousands) |
| |
2020
|
| |
2019
|
| ||||||
U.S. federal
|
| | |
$
|
—
|
| | | | $ | — | | |
State and local
|
| | |
|
415
|
| | | | | 45 | | |
Foreign
|
| | |
|
5
|
| | | | | 0 | | |
Total Income Taxes
|
| | |
$
|
420
|
| | | | $ | 45 | | |
| | |
Amount
|
| |||
Securities and Exchange Commission registration fee
|
| | | $ | 652,512 | | |
FINRA filing fee
|
| | | | * | | |
Accountants’ fees and expenses
|
| | | | * | | |
Legal fees and expenses
|
| | | | * | | |
Blue Sky fees and expenses
|
| | | | * | | |
Transfer Agent’s fees and expenses
|
| | | | * | | |
Printing and engraving expenses
|
| | | | * | | |
Miscellaneous
|
| | | | * | | |
Total expenses
|
| | | $ | * | | |
| | | | | |
Incorporated by Reference
|
| ||||||
Exhibit
|
| | | | |
Form
|
| |
Exhibit
|
| |
Filing Date
|
|
23.4 | | | Consent of Latham & Watkins LLP (included in Exhibit 5.1) | | | | | | | | |
*
|
|
24.1 | | | Power of Attorney | | |
S-1
|
| |
Signature Page
|
| |
12/23/2020
|
|
101.INS | | | XBRL Instance Document | | | | | | | | |
*
|
|
101.SCH | | | XBRL Taxonomy Extension Schema Document | | | | | | | | |
*
|
|
101.CAL | | | XBRL Taxonomy Calculation Linkbase Document | | | | | | | | |
*
|
|
101.DEF | | | XBRL Taxonomy Definition Linkbase Document | | | | | | | | |
*
|
|
101.LAB | | | XBRL Taxonomy Extension Label Linkbase Document | | | | | | | | |
*
|
|
101.PRE | | | XBRL Taxonomy Extension Presentation Linkbase Document | | | | | | | | |
*
|
|
|
Signature
|
| |
Title
|
| |
Date
|
|
|
/s/ Ric Fulop
Ric Fulop
|
| | Chief Executive Officer and Chairman (principal executive officer) | | |
January 28, 2021
|
|
|
/s/ Elizabeth Linardos
Elizabeth Linardos
|
| | Chief Financial Officer (principal financial officer and principal accounting officer) | | |
January 28, 2021
|
|
|
*
Scott Dussault
|
| | Director | | |
January 28, 2021
|
|
|
*
Dayna Grayson
|
| | Director | | |
January 28, 2021
|
|
|
*
Leo Hindery, Jr.
|
| | Director | | |
January 28, 2021
|
|
|
*
Wen Hsieh
|
| | Director | | |
January 28, 2021
|
|
|
*
Jeff Immelt
|
| | Director | | |
January 28, 2021
|
|
|
*
Byron Knight
|
| | Director | | |
January 28, 2021
|
|
|
*
Stephen Nigro
|
| | Director | | |
January 28, 2021
|
|
|
*
Steve Papa
|
| | Director | | |
January 28, 2021
|
|
|
*
Andy Wheeler
|
| | Director | | |
January 28, 2021
|
|
|
*By: /s/ Ric Fulop
Ric Fulop
Attorney-in-fact |
| | |
Exhibit 5.1
200 Clarendon Street | |
Boston, Massachusetts 02116 | |
Tel: +1.617.948.6000 Fax: +1.617.948.6001 | |
www.lw.com |
January 28, 2021
Desktop Metal, Inc. 63 3rd Avenue Burlington, Massachusetts 01803 |
FIRM / AFFILIATE OFFICES |
|
Beijing | Moscow | |
Boston | Munich | |
Brussels | New York | |
Century City | Orange County | |
Chicago | Paris | |
Dubai | Riyadh | |
Düsseldorf | San Diego | |
Frankfurt | San Francisco | |
Hamburg | Seoul | |
Hong Kong | Shanghai | |
Houston | Silicon Valley | |
London | Singapore | |
Los Angeles | Tokyo | |
Madrid | Washington, D.C. | |
Milan |
Re: Registration Statement on Form S-1
Ladies and Gentlemen:
We have acted as special counsel to Desktop Metal, Inc., a Delaware corporation (the “Company”), in connection with the registration of (i) the offer and sale by certain selling securityholders named in the Registration Statement (as defined below) of up to 176,111,636 outstanding shares (the “Outstanding Shares”) of Class A common stock, $0.0001 par value per share (the “Common Stock”), (ii) the offer and sale by a selling securityholder named in the Registration Statement (the “Acquisition Selling Securityholder”) of up to 12,500,000 shares of Common Stock (the “Acquisition Shares”) that may be issued to the Acquisition Selling Securityholder pursuant to that certain Purchase Agreement and Plan of Merger with envisionTEC, Inc. described in the Registration Statement (the “Merger Agreement”), (iii) the issuance up to 25,010,494 shares of Common Stock (the “Warrant Shares”) that are issuable from time to time upon exercise of outstanding warrants (the “Warrants”), and (iv) the offer and sale by certain selling securityholders named in the Registration Statement of up to 10,003,000 shares of Common Stock issuable upon exercise of certain of the Warrants (the “Resale Warrant Shares” and collectively with the Outstanding Shares, the Acquisition Shares, and the Warrant Shares, the “Shares”). The Shares are included in a registration statement on Form S-1 under the Securities Act of 1933, as amended (the “Act”), filed with the Securities and Exchange Commission (the “Commission”) on December 23, 2020, as amended (the “Registration Statement”). This opinion is being furnished in connection with the requirements of Item 601(b)(5) of Regulation S-K under the Act, and no opinion is expressed herein as to any matter pertaining to the contents of the Registration Statement or related prospectus or prospectus supplement (collectively, the “Prospectus”), other than as expressly stated herein with respect to the issue of the Shares.
As such counsel, we have examined such matters of fact and questions of law as we have considered appropriate for purposes of this letter. With your consent, we have relied upon certificates and other assurances of officers of the Company and others as to factual matters without having independently verified such factual matters. We are opining herein as to the General Corporation Law of the State of Delaware, and we express no opinion with respect to any other laws.
January 28, 2021
Page 2
Subject to the foregoing and the other matters set forth herein, it is our opinion that, as of the date hereof:
1. | The Outstanding Shares have been duly authorized by all necessary corporate action of the Company and are validly issued, fully paid and nonassessable. |
2. | When the Acquisition Shares initially issuable pursuant to the terms of the Merger Agreement shall have been duly registered on the books of the transfer agent and registrar therefor in the name of or on behalf of the Acquisition Selling Securityholder, and have been issued by the Company against payment therefor (not less than par value) in the circumstances contemplated by the Merger Agreement, the Acquisition Shares will have been duly authorized by all necessary corporate action of the Company, and will be validly issued, fully paid and nonassessable. In rendering this opinion, we have assumed that the Company will comply with all applicable notice requirements regarding uncertificated shares provided in the General Corporation Law of the State of Delaware. |
3. | When the Warrant Shares initially issuable upon exercise of the Warrants shall have been duly registered on the books of the transfer agent and registrar therefor in the name of or on behalf of the Warrant holders, and have been issued by the Company against payment therefor (not less than par value) in the circumstances contemplated by the Warrants, the Warrant Shares will have been duly authorized by all necessary corporate action of the Company, and will be validly issued, fully paid and nonassessable. In rendering this opinion, we have assumed that the Company will comply with all applicable notice requirements regarding uncertificated shares provided in the General Corporation Law of the State of Delaware. |
4. | When the Resale Warrant Shares initially issuable upon exercise of the applicable Warrants shall have been duly registered on the books of the transfer agent and registrar therefor in the name of or on behalf of the applicable Warrant holders, and have been issued by the Company against payment therefor (not less than par value) in the circumstances contemplated by the applicable Warrants, the Resale Warrant Shares will have been duly authorized by all necessary corporate action of the Company, and will be validly issued, fully paid and nonassessable. In rendering this opinion, we have assumed that the Company will comply with all applicable notice requirements regarding uncertificated shares provided in the General Corporation Law of the State of Delaware. |
With your consent, we have assumed (a) that the Merger Agreement and the Warrants have been duly authorized, executed and delivered by the parties thereto other than the Company, (b) that the Merger Agreement and Warrants constitute legally valid and binding obligations of the parties thereto other than the Company, enforceable against each of them in accordance with their respective terms and (c) that the status of the Merger Agreement and the Warrants as legally valid and binding obligations of the parties will not be affected by any (i) breaches of, or defaults under, agreements or instruments, (ii) violations of statutes, rules, regulations or court or governmental orders or (iii) failures to obtain required consents, approvals or authorizations from, or to make required registrations, declarations or filings with, governmental authorities.
January 28, 2021
Page 3
This opinion is for your benefit in connection with the Registration Statement and may be relied upon by you and by persons entitled to rely upon it pursuant to the applicable provisions of the Act. We consent to your filing this opinion as an exhibit to the Registration Statement and to the reference to our firm in the Prospectus under the heading “Legal Matters.” In giving such consent, we do not thereby admit that we are in the category of persons whose consent is required under Section 7 of the Act or the rules and regulations of the Commission thereunder.
Very truly yours, | ||
By: | /s/ Latham & Watkins |
Exhibit 23.1
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM'S CONSENT
We consent to the inclusion in this Registration Statement of Desktop Metal, Inc. on Amendment No.2 to Form S-1 [File No. 333‐251653] of our report dated March 26, 2020 with respect to our audits of the financial statements of Trine Acquisition Corp. as of December 31, 2019 and 2018, for the year ended December 31, 2019, and for the period from September 26, 2018 (inception) through December 31, 2018, which report appears in the Prospectus, which is part of this Registration Statement. We also consent to the reference to our Firm under the heading “Experts” in such Prospectus.
/s/ Marcum LLP | |
Marcum LLP | |
New York, NY | |
January 28, 2021 |
Exhibit 23.2
CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
We consent to the use in this Registration Statement 333-251653 on Form S-1 of our report dated September 14, 2020, relating to the financial statements of Desktop Metal, Inc. We also consent to the reference to us under the heading “Experts” in such Registration Statement.
/s/ Deloitte & Touche LLP
Boston, Massachusetts
January 28, 2021
Exhibit 23.3
Consent of Independent Auditor
We hereby consent to the use in the Prospectus constituting a part of this Registration Statement of our report dated November 6, 2020, relating to the combined financial statements of EnvisionTEC Group, which is contained in that Prospectus.
We also consent to the reference to us under the caption “Experts” in the Prospectus.
/s/ BDO USA, LLP |
Troy, Michigan
January 28, 2021