After 3-D Printer Jam, GE to Buy Similar Model
October 27 2016 - 4:40AM
Dow Jones News
FRANKFURT—General Electric Co. said on Thursday it would pay
$599 million for a 75% stake in Concept Laser GmbH, after its plan
to acquire another German 3-D printing company fell through earlier
this week.
GE also said it had increased its offer price for Sweden's Arcam
AB, another company active in so-called additive-manufacturing
technology, to 300 Swedish kronor a share, up from 285 kronor,
valuing the company at about $700 million. GE, which announced its
bid for Arcam in September, also lowered the minimum acceptance
threshold to 75% from 90% and extended the acceptance period for
the offer for a second time, to Nov. 10.
GE said it would not raise its Arcam bid further.
The announcements come a day after GE said its offer to buy
Germany's SLM Solutions Group AG fell through, GE having failed to
reach the 75% threshold for the deal to go forward. SLM is also
active in 3-D printing.
Privately held Concept Laser has more than 200 employees and its
customers are concentrated in the aerospace, medical and dental
industries. The deal leaves open the possibility of GE taking full
ownership of Concept Laser at a later date.
GE has invested roughly $1.5 billion in manufacturing and
additive technologies at it global research center and is
developing additive applications across businesses, it said. GE
plans to "invest significantly" into Concept's Lichtenfels
location, which will become a new German center for GE, the company
said.
The U.S. industrial giant's offer for SLM, announced alongside
its initial bid for Arcam, fell apart after a fund belonging to
Elliott Management Corp. last week said it opposed the deal and
held more than 20% of SLM, creating a significant stumbling
block.
Elliott, founded by famed stock picker Paul Singer, has also
taken a 10.14% stake in Arcam.
Write to Sarah Sloat at sarah.sloat@wsj.com and Daniel Michaels
at daniel.michaels@wsj.com
(END) Dow Jones Newswires
October 27, 2016 04:25 ET (08:25 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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