Alpha Partners Technology Merger Corp. (APTM) Signs LOI with Glowforge

Alpha Partners Technology Merger Corp. (NASDAQ:APTM) announced in an 8-K this morning that it has signed a non-binding letter of intent (LOI) to combine with 3D printing firm Glowforge.

The SPAC has thus far released no other details on the proposed merger beyond that Glowforge’s existing shareholders would be expected to roll 100% of their equity into the combined entity. But, the deal does give investors something to chew on as Alpha Partners seeks to extend its deadline one year from July 30 to the same date in 2024.

Founded in 2015, Glowforge produces 3D laser printers capable of engraving digital designs on a wide variety of materials. These are priced at $4,995 to $6,995, targeting a clientele of high-end hobbyists and small businesses, but likely not high volume manufacturers.

It has raised $135 million in private funding to date and achieved a valuation of $463 million at the close of its Series E round that raised $20 million in May 2023, according to Pitchbook.

But, while Glowforge’s potential may help Alpha Partners keep more shares in the fold through an extension, 3D printing has not been a high performing sector for de-SPACs overall.

The last three targets that closed SPAC deals dating back to December 2021 include Nuburu (NYSE:BURU), which last closed at $0.63, Fathom (NYSE:FATH), which last closed at $0.39 and Fast Radius, which declared bankruptcy eight months after closing its combination in November 2022.

Other firms have kept their share prices more aloft like Shapeways (NYSE:SHPW) at $4.98, but only after reverse stock splits that have shrunk its market cap to $28 million, down from the $605 million pro forma equity value envisioned at its announcement with Galileo.