Markus Rechlin has been removed from his position as CEO of 3D printing company SLM Solutions (FRA:AM3D).
Hedge fund scuppers deal
SLM Solutions are a major manufacturer of industrial metal 3D printers and were approached last year by GE (NYSE:GE) during a takeover bid. The takeover was scuppered by U.S. hedge fund Elliott Advisors who acquired a stake in the Lubeck based company which they attempted to leverage to obtain a higher price than the multinational company was willing to pay.
In the event, and as forecast by 3D Printing Industry, GE transferred their attention to fellow German company Concept Laser. Work is now progressing to integrate Concept Laser into GE’s business.
Uwe Bogershausen, the current CFO, will assume the duties of CEO with immediate effect according to the company. Shares in SLM Solutions reached a high of €43 during September 2016, the company is currently trading at €33.81.
The 3D printer manufacturer had a strong presence during last years Formnext and is established in several global markets, including an office in Shanghai, China. As manufacturers of a range of Selective Laser Melting powder bed fusion 3D printers customers include those in the aviation, automotive and medical sectors.
New opportunities for 3D printer manufacturer
Since missing out on investment from GE, reportedly sales growth has been slower than forecast. However, the company may yet do well out of GE’s expansion into the 3D printing business. Primarily because GE rivals who previously worked with Concept Laser may decide that their 3D printing needs are better served by an unconnected company.
SLM Solutions have not given a reason for the change in management and made the following statement,
The Supervisory Board of SLM Solutions Group AG thanks Dr. Rechlin for his many years of dedicated and committed contribution to the company. As from now, the Executive Board of SLM Solutions consists of Uwe Bogershausen and Henner Schoneborn.
SLM Solutions are due to make their annual report in March.
Already this year we have seen changes in top level management at another 3D printing company. MakerBot CEO Jonathan Jaglom was replaced by Nadav Goshen and rumors have circulated that 3D Systems may be a takeover target, a rumor the company recently declined to comment on.
Featured image shows a laser melted SLM Solutions logo. Photo by Michael Petch.