Desktop Metal Files Chapter 11, Plans Foreign Asset Sale to Anzu

Desktop Metal, a 3D printing company recently acquired by Nano Dimension, has filed for Chapter 11 bankruptcy protection in the Southern District of Texas amid ongoing financial and legal challenges. The company disclosed assets and liabilities estimated between $100 million to $500 million, with some reports suggesting values up to $10 billion, and plans to sell several foreign subsidiaries—including ExOne GmbH, EnvisionTEC GmbH, ExOne KK, and AIDRO srl—to an affiliate of Anzu Partners to repay debts. This bankruptcy filing follows a court-ordered completion of Nano Dimension's acquisition of Desktop Metal, which faced delays due to executive changes and legal disputes, including a $30 million unpaid legal fee claim from Quinn Emanuel Urquhart & Sullivan LLP, now seeking damages up to $90 million. Despite the filing, Desktop Metal will retain control of its operations during the reorganization process, and Nano Dimension's CEO emphasized their commitment to maintaining financial strength and pursuing strategic opportunities. The bankruptcy highlights challenges within the additive manufacturing sector, with other companies like Fast Radius also undergoing similar restructurings. The situation remains fluid as Desktop Metal navigates court supervision and asset sales to stabilize its corporate structure.