Venture Capital Strategies for Additive Manufacturing (Part 4)

The long term success of any manufacturing technique is greatly coupled to users’ access and ability to make the most of the technique’s inherent advantages. Additive manufacturing / 3D printing is no different. So while the previous investment strategies outlined on Manufacturing Disruption (The (Printed) Full Stack, Reinventing the Hardware Startup and Innovating Internally – Corporate Venture Capital) focused on leveraging technological advantages, the final strategy is all about expanding access to additive manufacturing and helping users unleash its power. This strategy is approachable to many would-be entrepreneurs and is particularly attractive from the venture capitalist’s perspective as it is flexible, scalable and conforms to existing investment strategies already employed by many prominent VCs.

Although the recent acquisition of cloud-based 3D design and publishing startup, Lagoa, has yet to generate significant headlines (neither company have officially announced the deal on their respective websites), La Presse.ca  and Techvibes are reporting that the US CAD giant has paid $60-62 million for the young, Montreal-based Lagoa.

The deal represents another notable acquisition-exit for an advanced manufacturing service/software company.  Although the details of the deal and the previous venture-backed investment rounds are not available, I’ve gone through the exercise running some conservative estimates to better understand how the venture capital community should regard the transaction: