Grist set to chair Robo 3D

15/06/2018 - 11:47

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Perth investor Tony Grist is set to take charge of US-focused 3D printing company Robo 3D, which has announced the acquisition of a US software company operating in a related field and major cost cuts in its existing business as it seeks to achieve breakeven trading.

Grist set to chair Robo 3D
Tony Grist says he couldn't rule out further accretive acquisitions by Robo 3D.

Perth investor Tony Grist is set to take charge of US-focused 3D printing company Robo 3D, which has announced the acquisition of a US software company operating in a related field and major cost cuts in its existing business as it seeks to achieve breakeven trading.

Mr Grist is a cornertsone investor and played a key role in the ASX listing of Robo 3D, which will pay $US2 million ($2.6 million) for education software business MyStemKits.

Mr Grist co-founded Vocus Communications and previously served as chairman of Amcom Telecommunications, leading the acquisition of a major stake in iiNet by Amcom in 2006.

Robo said in a statement to the ASX that Mr Grist had been brought in to support the purchase of MyStemKits.

“Tony has been a shareholder of Robo 3D and we are now delighted to have him want to join our board to see the company through this transformative acquisition,” managing director Ryan Legudi said.  

“Tony is widely recognised as an industry leader and has successfully driven large-scale M&A strategies that have delivered significant shareholder value.

“His skills are aligned with our current  growth strategy and with his vast capital markets experience, we expect him to make an immediate impact to our company.”

The appointment is subject to Mr Grist completing due dilligence on the company. 

Mr Grist outlined the strategic rationale of the US purchase.

“The distribution platform throughout the US and internationally that Robo has established for its award winning desktop 3D printing series makes it uniquely placed to expand on the existing sales profile of the proposed acquisition of the Stem curriculum and 3D printing software business, MyStemKits,” Mr Grist said.

“Sales for the core printer business in FY2018 are substantially more than FY2017 so there is strong momentum there.

“But what really attracts me to this transaction are the high margins and recurring SaaS model of the complementary MSK business, along with federal and state funding initiatives driving Stem curriculum sales.

“I’m looking forward to seeing where we can take it as a bundle, and I wouldn't rule out more accretive acquisitions in the education content software sector in the US.”

The company also announced a $3.2 million capital raising to fund the purchase, with Astrion Capital and Velocity Trade acting as joint lead managers to the placement.

Robo issued 130 million shares at 2.5 cents each, represneing a 4.9 per cent discount on the 10-day volume-weighted average price.

 

 Shares in Robo were up 27.3 per cent at 2.8 cents each at 1pm AEDT.

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