
The promise of 3D printing, once touted as a revolutionary technology poised to transform both industrial manufacturing and consumer habits, has yet to fully materialize. For decades, the vision of printing custom dentures at home, personalized eyeglasses on demand, or even life-saving organs in hospitals fueled excitement and investment. Amazon, for example, even patented mobile 3D printing units within delivery trucks to facilitate on-site repairs. The expectation was that as the technology matured, prices would plummet, making it accessible to everyday consumers who would then churn out everything from quirky coffee mugs to custom-designed tools. Businesses were anticipated to leverage 3D printing to effortlessly expand and diversify their manufacturing capabilities.
However, the reality has fallen short of these lofty predictions. Now, one of the major players in the 3D printing industry, Desktop Metal, is grappling with the challenges of this slow adoption, leading to significant restructuring.
EnvisionTEC US LLC, a key manufacturer of industrial 3D printing technologies operating within the Desktop Metal group, has filed for Chapter 11 bankruptcy protection in the Southern District of Texas. The company, also known as ETEC and Desktop Health, specializes in additive manufacturing solutions, including 3D printers, specialized materials, and software tailored for industries like dental, healthcare, and general manufacturing.
According to its website, ETEC offers a range of 3D printing systems designed for the mass production of polymer parts, emphasizing speed and quality for end-use applications. The company highlights the accuracy, superior part properties, fine detail, and smooth surface finish achieved by its printers, positioning them as a cost-competitive alternative to traditional manufacturing methods like injection molding.
The healthcare sector has been a particular focus for ETEC, with the company emphasizing its ability to disrupt traditional manufacturing processes for medical products. They point to the increasing demands of the life sciences sector, characterized by intricate designs, shorter product lifecycles, and challenging functional requirements.
Based in Burlington, Massachusetts, the company reported assets and liabilities each falling within the $100 million to $500 million range. The bankruptcy filing is part of a broader restructuring effort involving 15 affiliated entities, including parent company Desktop Metal, Inc., and subsidiaries like ExOne Americas LLC and Adaptive3D Technologies, LLC, along with several dental technology businesses. The company lists between 100 and 199 creditors. Andrew Hinkelman has been appointed as Chief Restructuring Officer to oversee the bankruptcy proceedings.
Desktop Metal, Inc. and its U.S. affiliates have reached an agreement with an affiliate of Anzu Partners to sell its foreign subsidiaries, ExOne GmbH, EnvisionTEC GmbH, ExOne KK, and AIDRO s.r.l., subject to court approval and customary closing conditions. The Chapter 11 filing is intended to facilitate this sale and safeguard the business while the company markets its remaining assets.
The company has stated that it will communicate directly with its stakeholders, including employees, customers, and vendors, regarding the next steps in the process. Desktop Metal has enlisted Pachulski Stang Ziehl & Jones LLP as legal counsel, FTI Consulting, Inc. as financial advisor, and Piper Sandler & Co as investment banker.
Anzu Partners, the prospective buyer of the foreign subsidiaries, is an investment firm specializing in clean tech, industrial, and life science technology companies with transformative potential. The firm provides capital and expertise in business development, market positioning, global connectivity, and operations to help entrepreneurs develop and commercialize innovations. As of 2024, Anzu Partners managed approximately $1 billion in assets with a team of over 50 professionals across multiple offices.
Despite its initial promise, 3D printing has faced several hurdles in achieving widespread adoption by both businesses and consumers: