3D printing assets from industrial manufacturing service provider Zeda, Inc. are up for sale in an online auction. With a replacement value of $20 million, the assets come from the company’s 75,000-square-foot manufacturing facility in Springdale, Ohio.
The sale includes four Velo3D Sapphire metal 3D printers, four AddUp FormUp 350 LPBF machines, and a GE Additive Arcam EBM Q10plus Electron Beam Melting System. Industrial CNC technology from Makino, DMG Mori, Tsugami, and Mitsubishi are also being auctioned, as well as machinery from Zoller, Behringer Saws, and Hexagon. In all, 22 items are up for sale, with models dating from 2019 to 2023.
Zeda was born from a rebranding of PrinterPrezz Inc. and its subsidiary Vertex Manufacturing in March 2023. The combination sought to offer expertise in regulated industries, including 3D printed medical devices and space, defense, and aerospace components. Zeda’s name reportedly represents the company’s “Z to A” approach, meaning its offering begins with the client and ends with a product.
Zeda appeared to be performing well last year. After raising $52 million in Series B funding in March 2023, the company invested $20 million in new equipment for its Springdale facility the following June. The full implications of this asset auction have yet to be confirmed. However, given the extent of the sale and Zeda’s lack of updates since February 2024, it suggests a worrying outlook for the company.
3D Printing Industry has contacted Zeda, Inc. for comment.
The online-only auction, delivered by the New Mill Capital auction house, will begin on January 15. Bidding will close at 13:00 ET on January 22, 2025. Full details on the listings can be viewed here.
Zeda Inc. to sell $20 million of assets
The auction listing describes the assets as “Very Low Hour Equipment,” indicating the machinery has seen minimal use and remains in excellent condition. This raises questions about the level of business activity at Zeda’s Springdale facility since its opening, potentially reflecting the underutilization of its advanced manufacturing capabilities.
Zeda’s asset auction follows a wave of positive announcements from the company last year. In March 2023, Zeda raised $52 million in a Series B funding round, bringing its total financing to $68 million. At the time, CEO Shri Shetty commented that the firm was witnessing “exponential growth” within its served market.
The proceeds of the Series B round were used to finance Zeda’s Cincinnati-based, advanced manufacturing digital foundry. In June, the company’s Springdale manufacturing facility added $20 million of equipment. This followed the acquisition of eight FormUp 350 3D printers from AddUp in March, four of which are now being sold.
Zeda’s last public announcement came in February 2024 with the news it had acquired the Orthopaedic Implant Company (OIC), a firm specializing in value-based medical implants. This strategic move sought to strengthen Zeda’s position within the medical device market and was billed as a “significant leap forward” at the time.
While Zeda may not be a familiar name to many in the 3D printing industry, the company’s website lists input from leading additive manufactring experts, including Greg Morris. As Co-founder of Morris Technologies (MTI), he introduced the first DMLS printer to the USA in 2003. MTI was acquired by GE in 2012 as the global engineering firm sought to bolster its additive manufacturing capabilities.
Earlier this year, Morris received the AMUG 2024 Innovators Award. This prestigious award recognizes individuals who have driven industry advancements and made novel contributions to the additive manufacturing sector. Previous recipients include Chuck Hull, Scott Crump, Carl Deckard, Fried Vancraen, Gideon Levy, Hans Langer, Andy Christensen, and Diana Kalisz.
3D printing asset auctions
Zeda, Inc.’s auction reflects a broader trend of asset sales within the 3D printing industry. A survey on 3D printing trends from the start of 2024 saw 3D printing experts identify business consolidations and reductions in stocks and fixed assets as being driven by industry challenges.
In February 2024, concerns about the future of engineering materials firm Uniformity Labs emerged when $10 million worth of its metal 3D printing assets were put up for auction. These assets included a ALD Vacuum Technologies’ Viga 35 Vacuum Gas Atomizer system priced at $3.5 million, SLM Solutions’ 280HL Dual 700W LPBF 3D printer, an SLM 125M 3D printer, an EOS M290 LPBF system, a Desktop Metal P1 Production binder jet 3D printer, and a Desktop Metal Shop system.
Uniformity Lab’s asset auction ultimately spelled the end for the company, which ceased operations soon after.
Elsewhere, February also saw 3D printing service provider Shapeways auction off $5 million of its hardware from industrial 3D printer manufacturer Desktop Metal. The assets featured metal additive manufacturing equipment Shapeways had been using its 3D printing service bureau offering. This included Desktop Metal P1 Production System 3D printers, Shop System binder jet 3D printers, BMD 3D printers, powder stations, powder blenders, sintering furnaces, and drying ovens.
The news of this auction followed the firm’s poor financial performance since its $605 million SPAC deal with Galileo Acquisition Corp (GLEO) in 2021. This deal valued Shapeways at $410 million and generated $195 million in net proceeds. Following this, the company projected rapid annual growth of 95% between FY 2021 and FY 2022. It also anticipated a pre-tax earnings target of $107 million by 2025 and $250 million in revenue in 2024.
In reality, however, Shapeways couldn’t live up to the hype. By Q3 2023, the company had generated just $8.4 million in revenue and $3.4 million in gross profit. Net loss came to -$19.4 million, up 198.5% YoY. Following this, the firm announced several cost-cutting measures, including a 15% workforce reduction. By July 2024, Shapeways’ bankruptcy was confirmed. Shapeways re-launched as Manuevo BV in August 2024 after the Eindhoven-based team and two co-founders acquired the firm’s defunct assets.
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Featured image shows Zeda, Inc.’s manufacturing facility. Photo via Zeda, Inc.
