Nano Dimension May Let Desktop Metal Default on Its Debt
6 May, 2025
Nano Dimension hints it may not fund Desktop Metal’s looming debt repayment, raising the possibility of bankruptcy—while signaling a strategic shift toward profitable growth and distancing itself from past acquisitions.
[In the photo above: Desktop Metal employees on the industrial printer production line in Massachusetts, USA. Source: Desktop Metal]
Will Nano Dimension allow Desktop Metal, the company it acquired just weeks ago, to fall into bankruptcy? That scenario now seems very much on the table, judging by statements made by Nano Dimension’s executives during their recent earnings call following the release of their 2024 financial results. During the call, company leaders hinted that Nano Dimension may not provide Desktop Metal with the financial support needed to meet its debt obligations—potentially sealing its fate.
As a reminder, Nano Dimension completed the acquisition of Desktop Metal last month—grudgingly and under court order from a Delaware court—for $180 million. But Desktop Metal joins the company with considerable financial baggage. Alongside ongoing operating losses, it carries a burden of approximately $150 million in convertible notes, due to be repaid to bondholders by June 11, 2025, along with interest. As of September 2024, Desktop Metal had just $30 million in cash.
Distancing from Desktop Metal, Embracing Markforged
Nano Dimension’s newly appointed CFO, Assaf Zipori, addressed the issue directly in the earnings call: “Let’s talk about the elephant in the room. It’s clear to anyone analyzing Desktop Metal that it’s a company with limited liquidity and substantial debt. It lacks the liquidity to repay these notes or meet other material obligations—obligations of Desktop Metal, not of Nano Dimension. While we’ve provided limited short-term funding, we cannot commit to further financial support.”
This statement suggests that Nano Dimension is actively distancing itself from Desktop Metal. The latter is now independently working with two consulting firms to explore potential solutions for its financial crisis. Another clear sign of Nano’s hands-off stance came from Zipori’s additional comment: “We will act consistently with our guiding principles—preserving financial strength and investing only in growth- and profit-oriented opportunities.”
If Desktop Metal does default, key questions remain: what legal and financial ramifications might Nano Dimension face, and how will investors and markets react? After all, this might be perceived as a walk-away from a corporate commitment—albeit one made by a previous management team.
In stark contrast, Nano Dimension’s recent $115 million acquisition of U.S.-based Markforged appears to be welcomed by the new leadership. CFO Assaf Zipori, formerly of Markforged, has taken over as Nano’s global CFO. The Markforged technology fits more squarely into Nano Dimension’s software-driven vision. “Markforged has an excellent software platform—we knew it before the deal, and we know it even better now,” said interim CEO Julian Lederman during the call, following the ousting of former CEO Yoav Stern.
Cleaning Up a Legacy of Unfocused Acquisitions
Desktop Metal isn’t the only problematic asset from the acquisition spree led by Stern, Nano Dimension’s previous CEO. Under his leadership, the company made no fewer than 10 acquisitions totaling nearly $450 million—resulting in a fragmented group of 3D printing and PCB companies, often lacking clear business or technological synergy.
The new leadership seems determined to refocus. Plans are underway to exit less profitable product lines and zero in on advanced additive manufacturing solutions for high-performance, high-value parts—returning to Nano Dimension’s original mission of 3D-printed PCBs and electronic components. “Shareholders demanded change, and we’re delivering it,” said Zipori. “We’re applying a disciplined strategy focused on synergy. No more random acquisitions—every business line must offer a defensible technological edge against low-cost Far East competition.”
During their first quarter in office, the new leadership divested from Admatec, DeepCube, NanoFabrica, and Formatec. Two of these—NanoFabrica and DeepCube—are Israeli firms. NanoFabrica, acquired in 2021 for $55 million, developed 3D printers for micro-scale parts. DeepCube, acquired around the same time for $70 million, specialized in AI algorithms. This deal raised eyebrows both for its high price and questionable strategic fit—especially since DeepCube’s founder was a board member at Nano Dimension, sparking concerns of conflict of interest.
Though the CFO didn’t elaborate on what “divestment” entails, Nano Dimension confirmed to Techtime that these four companies have ceased operations, and full details will be included in the upcoming annual report to the SEC.
Trade War Tailwinds?
In 2024, Nano Dimension reported revenue of $57.8 million, a 2.6% increase over 2023. EBITDA-adjusted net loss was $65.3 million, a 35% improvement from the previous year. Preliminary results for Q1 2025 show revenue of $14.4 million—an 8% year-over-year rise. The company believes that U.S. President Trump’s tariff and trade policies may play to its advantage. “Global trade dynamics are forcing companies to reevaluate supply chains, and we aim to help them do just that,” said CEO Ofir Baharav.
It’s worth noting that a similar hope surrounded the COVID-19 crisis, when companies were expected to localize supply chains—yet that business boom never materialized.
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Posted in tags: Desktop Metal , nano dimension
