IPG Photonics acquires German laser firm for $75M
Image | Courtesy of Google Maps
Formerly headquartered in Oxford, IPG Photonics is now based in Marlborough.
IPG Photonics Corp., a global laser manufacturing firm headquartered in Marlborough, has acquired German firm cleanLASER for approximately $75 million.
IPG acquired the firm specializing in high-precision laser systems for cleaning applications in order to strengthen its global position in the laser market, according to an IPG press release issued Monday.
“The acquisition of cleanLASER aligns with IPG's strategic focus on expanding into promising new markets and applications,” IPG CEO Mark Gitin said in the press release. “This move further differentiates our business by enhancing our ability to deliver comprehensive solutions that provide customers with cost-effective and environmentally sustainable alternatives to traditional industrial processes.”
[What does 2025 hold for your business and the Central Mass. economy? Take WBJ’s Economic Forecast survey.]
Founded in 1997 with a headquarters in Herzogenrath, cleanLASER’s products are used for paint removal, mold cleaning, and laser marking, among other uses, according to the firm’s website.
The exact price of the finalized transaction was not included in the press release. IPG’s plans to purchase cleanLASER were first revealed in a Oct. 29 press release by the firm, with Gitin telling investors during the company’s third-quarter investment call that same day the price of the transaction was expected to be $75 million, according to call transcripts.
During that call, IPG executives discussed the impact of the company’s exit from Russia, the country in which the business was founded in 1990. IPG exited Russia in August through a $51-million sale of its Russian subsidiary IRE-Polus, due to the on-going impacts of the Russian invasion of Ukraine.
“This quarter, we were finally able to completely exit Russia with the sale of our operations in the country,” Gitin said during the Oct. 29 call. “With this transition now in the rearview mirror, we are focusing on optimizing our global manufacturing footprint to drive better efficiency, while ensuring enough capacity for an uptick in demand in future quarters.”
IPG’s stock was trading at around $78.88 per share on Tuesday morning on the Nasdaq, down slightly from $79.71 when the acquisition finalization was announced Monday and down from a 52-week high of $111.11.
Eric Casey is the managing editor at Worcester Business Journal, who primarily covers the manufacturing and real estate industries.
WBJ Web Partners
Most Recent
Most Recent
0 Comments