Velo3D Inc. Strikes Major Deal Amid Financial Turbulence

In a bold move that could redefine its market position, Velo3D, Inc., a company specializing in additive manufacturing solutions for high-value metal parts, has announced a significant long-term supply agreement with Amaero Ltd. This $22 million deal, spanning five years, marks a pivotal moment for Velo3D, a company currently navigating through turbulent financial waters.

A Strategic Alliance

On April 29, 2025, Velo3D, Inc. (OTC: VLDX) revealed its exclusive supply agreement with Amaero Ltd, a leading producer of high-value C103, refractory alloy, and titanium powders. This partnership is expected to generate approximately $22 million in revenue for Amaero over the next five years, based on demand estimates. The deal underscores Velo3D’s commitment to securing a steady supply of critical materials necessary for its 3D metal printing solutions, which are integral to producing mission-critical components for industries such as defense, space, and aviation.

Financial Context

Despite this promising development, Velo3D’s financial health remains a point of concern. The company, listed on the OTC Bulletin Board, has seen its stock price plummet to $0.425 as of April 27, 2025, a stark contrast to its 52-week high of $9.625 in April 2024. The market capitalization stands at $92.5 million, and the company’s price-to-earnings ratio is negative at -0.058652, reflecting ongoing financial challenges.

Boardroom Changes

In a bid to strengthen its strategic direction, Velo3D has also announced changes to its Board of Directors. The company has appointed Retired Navy Rear Admiral Jason Lloyd and Kenneth Thieneman, CEO of Thieneman Construction, Inc., to its board. These appointments are expected to bring valuable expertise and leadership to the company as it navigates its current challenges.

A Dual Announcement

Interestingly, both Velo3D and Amaero have released statements regarding the same agreement, highlighting its significance. Amaero’s announcement emphasizes the exclusive nature of the deal, projecting a revenue of A$35 million over five years. This dual announcement strategy underscores the importance of the agreement for both parties, signaling a strong partnership that could potentially stabilize Velo3D’s financial standing.

Industry Implications

The agreement with Amaero is not just a lifeline for Velo3D but also a strategic move that could enhance its competitive edge in the additive manufacturing sector. By securing a reliable supply of essential materials, Velo3D positions itself to meet the growing demand for high-quality metal parts in critical industries.

Conclusion

While Velo3D’s financial metrics paint a grim picture, the $22 million supply agreement with Amaero Ltd. offers a glimmer of hope. This strategic partnership could be the catalyst Velo3D needs to stabilize its operations and regain investor confidence. As the company navigates its financial challenges, the new board appointments and the exclusive supply deal may well be the turning points that redefine its future trajectory.