TRUMPF Divests Additive Manufacturing Business
TRUMPF has signed an agreement to divest its additive Manufacturing business, which includes both laser metal fusion and powder bed fusion technologies. TRUMPF will divest the assets to Lenbach Equity Opportunities III. GmbH & Co. KG, a fund managed by the Munich-based private equity firm DUBAG Group.
In a press release, Lenbach said that it plans to structure the acquisition as a new group operating out of Schio, Italy, the current development and production site of the business. That site was acquired fully by TRUMPF in 2021, having previously been a joint venture with Italian partner SIMA S.p.A. since 2014.
TRUMPF has agreed to sell its additive manufacturing business, which will operate as a standalone company, retaining the TRUMPF and TruPrint branding during a transitional period. Courtesy of TRUMPF.
All employees at the current sites in Schio, Ditzingen, Germany, and Plymouth, Mich., will be transferred as part of the business transfer. The TRUMPF and TruPrint will continue to be used during a transitional phase, after which a new company and independent brand identity will be introduced and established.
Following the deal’s close, the yet-to-be-named business will undergo a realignment to focus on the development, manufacturing, implementation, and sales of comprehensive solutions. In particular, the company is targeting OEMs and suppliers in the aerospace and medical technology industries, as well as specialized contract manufacturers, according to Lenbach.
Divestment follows ‘extremely challenging’ fiscal year
The transaction highlights TRUMPF's strategic focus on its industrial core businesses, amid declining sales numbers and order intake. In its most recent annual report, covering its previous fiscal year, TRUMPF noted an order intake slump of 10.4% compared to the previous year’s already declining numbers. “These figures, which we attribute largely to the weak global economy and increased geopolitical uncertainties, have prompted us to take rigorous measures with regard to non-personnel and personnel costs,” TRUMPF CEO Nicola Leibinger-Kammüller said in the report.
The company noted the additive manufacturing business’ exposure to fierce competition, with the market being characterized by price-sensitive customers and a mix of established competitors and startups with new technologies. The company also noted saturation in the photovoltaic and datacom markets.
TRUMPF said that it sees opportunities to strengthen its position in machine tools and lasers, with portfolio expansion for networked production and its global service network as potential catalysts.
/Buyers-Guide/TRUMPF-SE-Co-KG/c15241