Israeli 3D printing co Stratasys sheds 10% of work force

Yoav Zeif  / Photo: Stratasys

The company expects that the layoffs and other cost cutting measures will reduce annual expenditure by $30 million.

Israeli 3D printing company Stratasys Inc. (Nasdaq: SSYS) today announced that it is reducing its global workforce by 10%. The company expects that the layoffs and other cost cutting measures will reduce annual expenditure by $30 million. The company will incur a charge of $6 million in severance costs, mainly in the second quarter of 2020.

Stratasys CEO Yoav Zeif said, "This reduction in force is a difficult but essential step in our ongoing strategic process, designed to better position the company for sustainable and profitable growth. I would like to express my appreciation to each of the employees impacted by this decision for their dedicated service. Current conditions make the job market even more challenging, and we have done our best to provide the departing employees globally with a respectable and fair separation. This measure is not expected to affect the progress on our forthcoming product launch plans, which remain a top priority as we lead the industry to new heights with our best-in-class additive manufacturing solutions."

Stratasys was formed in 2012 from a merger of Israeli company Objet and Stratasys. Headquartered in Rehovot, the company maintains US offices in Minneapolis.

Stratasys's share price was down 11% since the start of 2020 at close of trading yesterday. But the company's share price is up 9.12% at $19.63 today, giving a market cap of $1.07 billion.

Published by Globes, Israel business news - en.globes.co.il - on June 2, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Yoav Zeif  / Photo: Stratasys
Yoav Zeif / Photo: Stratasys
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