Race For 3D Printing Capacity Could Revive M&A

This is an industrial breakthrough, destined to change the manufacturing industry, from the production of the entire shuttle rocket to dental implants.
Experts say it\'s only a matter of time before the technology will enter the home as well so that you can enter
Demand, custom basketball shoes, toys, household goods, etc.
3D printing builds almost any designed solid object by removing plastic, metal, or other tiny layers of melting, like drops in frozen weather.
This simplifies the complex assembly of heavy objects and complex designs, essentially reshaping the traditional economics of production.
One of the most popular stocks in the world for 3D printing is the 3D system, which has paid an amazing return since the start of the 27-year-old New Year. 54%. But its three-
The annual record is even more eye-opening: negative 77%.
PeerStratasyshas of the 3D system experienced the same long rout, down 83.
75% since January 2014.
ClosecomparablesExOne also dropped by 83.
The same period fell by 86%, while voxeljet in Germany dropped by 91. 8%. For long-
Buying 3D printing is a long-term investor in the information that is equivalent to the technological change of the Internet. no matter how strong the rebound is, it is a small comfort for the long-term downturn.
All of these stocks are far ahead of fundamentals because it\'s still-
The deep development of industrial processes will soon open up the consumer market.
The idea at the time was that 3D printerswered could be a part of the family in a certain amount of time, like a microwave or clothes dryer.
This field may also be because unlike blander\'s breakthroughs in chemical engineering, 3D printing is conceptually simple, not to mention visually exciting ---
Small layers on other small layers?
Why, it\'s like a Lego toy for big kids!
As a result, just before this segment began to slide, the 3D system developed at a rate of more than 113 times the earnings per share of 2013.
With the hype comes integration.
According to the themermarket database, 3D Systems made seven acquisitions in 2014 alone.
Nine people.
Based on last year\'s 3D printing transaction, it is still far lower than the 15 in butanencouragingstep in 2014.
In the history of this space, 3D Systems and Stratasys have completed more than 80% 3D printing transactions, tech-
Focus on investment banks and partners.
\"If you put 80% of your purchases in the market, there will be very few of your buyers.
But this year, there are signs
Making is waking up from a deep sleep.
In January 31, 3D announced its first acquisition in nearly two years, acquiring the Dutch manufacturer of 3D printing materials.
Amount not disclosed by Global foran.
More importantly, weak buyers are struggling to rebuild, relocate and regain past highs, new players have begun to enter the field, and many former 3D companies may become large diversified enterprise groups
In the middle of last month, the German trade magazine ak wrote that GE was considering acquiring a 3D system.
Daily sales of 3D Systems have soared by more than 16%.
The report did not cite sources, but it certainly fits GE\'s model, which in October had spent about $0. 7 billion on Swedish sarcamin ---
At that time, the market thought it was a deal that was not recognized: Voxeljetsoared.
26%, the 3D system soared 6.
57% in two days, ExOnejumped 3.
05% andStratasysincreased. 7%.
In fact, GE had a bigger plan but was forced to give up a $0. 733 billion investment plan because the activist hedge fund management company had accumulated enough shares to stop the acquisition.
In the aftermath of a failed transaction, GEturned turned right and bought a majority stake in close concept Laser.
\"It was a spectacular move, a bit unexpected, to get all the other players to follow it,\" Dow said . \".
\"I think they just get everyone involved, especially the big guys.
But there is also reason to be cautious.
According to Dow Jones, 3d printing is a term that doesn\'t make much difference.
Purists call it additive manufacturing.
What is 3D printing?
This is just a buzzword.
\"There are very few valuable goals and the company is not suitable for any model.
For example, GEis is primarily a system developed for arcam, SLM and concept lasers, and private outfitEOS e-in Germany
A manufacturing solution that combines computerized design technology with laser.
These things are very different from the additive printing business related to the \"manufacturer\"
Robot desktop box models such as 3D Systems, Stratasys and one, can be cast for jewelry, artistic images and a wide variety of other trivia patterns.
Except for this-
Or because it-
Another resistance to mergers and acquisitions may be the preference of large industrial enterprises for R & D.
For example, in September 2015, analysts at Jefferies said that PC and printer gianthp were seeking acquisition or cooperation as part of a plan to enter 3D, according to the themermarket database.
But recent reports show that HP has built its own market in this area, not buying, but also avoiding the consumer market, and more
A profitable market for industrial manufacturers.
Even at the lowest end, its model is priced at $130,000.
Arconic, Engineering in-
From the metal giant giantAlcoa, it also seems to be on the path of internal innovation rather than acquisition.
In last July, Alcoa opened a 3D printing metal powder production facility, part of a $60 million investment three years ago, before the rotation, the investment builds on the company\'s 3D printing capabilities in a range of US facilities.
A series of technology companies including BHP Billiton, Baosteel, Ricoh, Microsoft, Cannon, Polaroid, tongexpress and Sandvik, from engineering companies to metal miners and 2D printer manufacturers now have some sort of presence in 3D printing.
But it\'s hard to see that much of these efforts are more than just dabbling in: research projects, partnerships, small stakes in producers, and small product businesses.
All in all, the listed 3D printer manufacturers need to verify with a lot of quality improvements before they can find an addressable mass market.
At the same time, unless these companies\' applications are fully targeted at heavy manufacturing, they are still not interested in the large strategic players who are able to phase them out.
What about printed basketball shoes?
Perhaps the great social change that this technology brings will not lead to a decisive revolution, but more like the promising manufacturing process itself, it will accumulate a little bit.
Harry bronton, who provides analysis by Elizabeth limharry bronton (harry.
Brumpton @ mergermarket. com)
He is a reporter for Mergermarket and Dealreporter, where he interviewed industrial companies outside New York.
Elizabeth Lin is a research editor at Mergermarket, New York.