3D-Micromac, a German laser micromachining company, would consider offers from strategic investors, CEO Tino Petsch said. Hamburg-based M&A advisor MM Warburg is assisting the company in its growth strategy, he added.
Talks with some investors are already taking place, Petsch said. The objective is to sell the entire company within five years, he added. Petsch has 65% in the company and the remaining 35% is held in small stakes by several undisclosed investors, he explained.
The CEO did not provide information on 3D-Micromac's valuation but mentioned that for companies active in the same sector, financial investors are ready to pay up to 2x revenues.
A strategic investor could also enter the company by acquiring a minority stake or by financing one of 3D-Micromac's projects and could acquire 100% as a second step, Petsch said. He made clear that it is important that the strategic player continue to grow 3D-Micromac's business.
An IPO is also an interesting exit option but 3D-Micromac is still too small but such a move would require revenues of approximately EUR 200m, he said.
The company's last financing round took place in 2009, since then it has financed its growth with cash flow and credit lines, Petsch said.
3D-Micromac generates revenues of EUR 33m and plans to grow the figure to EUR 50m in 2018, the CEO said. In the last few years revenues have grown at an annual rate between 20% and 30%, he added, mentioning that the company has already secured orders to reach the 2018 figure.
More than 80% of the revenues are generated outside Germany, Petsch said, adding that Asia and North America are the most significant regions.
Acquisitions are not a priority at the moment, according to the CEO. 3D-Micromac's last M&A deal was the January 2014 acquisition of the TLS Dicing business segment from Jenoptik [ETR:JEN]place .
In 2016 3D-Micromac established a wholly owned subsidiary in China. And its US subsidiary, established in 2013, currently generates revenues in the range of USD 12m (EUR 11m) to USD 15m (EUR 13m).
Petsch named British company M-Solv and Belgium-based Optec among 3D-Micromac competitors.
by Laura Larghi in Munich