Velo3D Shares Climb on Opening of Major California Manufacturing Campus

Shares of Velo3D Inc. (NASDAQ:VELO) gained ground on Tuesday after the metal additive manufacturing company announced the opening of a major new production campus in Livermore, California, designed to significantly scale its manufacturing capabilities.

New Facility Boosts Production Capacity

Velo3D held a ribbon-cutting ceremony on July 15 for the new facility, named Forge 1, which the company describes as one of North America’s largest metal additive manufacturing facilities. The campus is intended to help clients in strategic industries transition mission-critical programs from qualification into full-scale production.

The new campus includes:

• A total of 289,000 square feet of space.
• Approximately 270,000 square feet dedicated to production.
• Initial infrastructure to support more than 40 large-format metal additive manufacturing systems.
• Capacity to expand to more than 100 systems over time.

A Vertically Integrated Strategy

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The Livermore facility will handle machine assembly, production-scale printing, post-processing, and quality assurance. This allows Velo3D's Fremont headquarters to remain the company's center for research and development, engineering, and customer collaboration. Combined, the two campuses are expected to operate up to 125 systems.

This vertically integrated approach enables Velo3D to manufacture both its advanced printing systems and qualified production parts under one roof. "Forge 1 is much more than a new production facility," said Arun Jeldi, Chief Executive Officer of Velo3D. "It represents our commitment to helping customers and our nation build a stronger, more resilient manufacturing foundation."

Market Impact

Investors reacted positively to the expansion, with Velo3D shares climbing 7% in Tuesday's trading. The move to increase production capacity is a significant step for the company, which serves high-value sectors such as aerospace, defense, and energy. The ability to handle larger production runs could position Velo3D to secure more substantial contracts from these demanding industries.

The facility will begin operations in phases as systems are installed and qualified, with capacity increasing over time to meet future customer demand.