Sodick acquires significant stake in Prima Additive

Japanese company Sodick Co., Ltd executed a contract to acquire new shares of Prima Additive S.r.l., a metal 3D printer manufacturing company headquartered in Turin, Italy, through a third-party allotment, and to enter into a business alliance with Prima Additive.

Sodick has strengths in high-speed and high-precision machining technologies, especially in precision molding for metal 3D printers. The company develops, manufactures, and sells multi-function 3D printers in the OPM series, that combine cutting and sintering (PBF) processes. In addition, Sodick has a strong global customer base and sales network in the precision molding field, particularly in the Asia region. The company also sells the LPM series machines for LPBF-only metal 3D printing.

Prima Additive develops, manufactures, and sells metal 3D printers utilizing both PBF technology (similar to the processes adopted by Sodick) and DED methods. With its development capabilities, Prima Additive has a wide range of applications in numerous industries such as aerospace, automotive and jewelry, etc. In addition to metal 3D printing technologies, Prima Additive is also active in the development of solutions equipped with advanced laser processes, such as remote laser welding and laser hardening, processes particularly used in the automotive sector.

In Europe, Prima Additive has a network of customers, universities, and research institutions, as well as high brand recognition in the 3D printer manufacturing business. Sodick, based on its Structural Reform and Medium-Term Management Plan, aims to improve and enhance the profitability of the business by re-adjusting the business & product portfolio and re-constructing production & distribution capabilities by taking current depreciation of the yen and geographical changes in product demand into consideration.

Prima Additive is highly complementary to Sodick from the viewpoint of technologies, products, target industries, customers, target regions and applications. By allying, the two companies will be able to increase the chance to enhance their competitiveness in the industry, and in particular in the growing metal 3D printer manufacturing business, mutually developing new fields/applications and expanding its sales network by cross-selling mainly in Japan, Europe and North America.

This is a welcome change for Sodick’s strategy. The company introduced its metal AM technology several years ago but never fully invested in building the market around it beyond established clients. Recently, several Japanese companies, led by Nikon’s high-profile takeover of SLM Solutions, have begun to make significant investments in the metal AM segment. It is also an opportunity for Prima Additive to exploit Sodick’s established global market presence. Taking this alliance as an opportunity, Sodick will establish its global business model in growing fields, aiming to enhance its enterprise value and achieve sustainable growth over the medium to long term.