Israeli 3D printing provider Nano Dimension is facing an uprising from its shareholders. Activist investor Murchinson, which holds just under 6% of the shares, wants to replace the entire board of directors at the upcoming annual general meeting in September.
According to Murchinson, management failed to draw any consequences after a voting defeat in March. At the time, shareholders had called for the ouster of CEO Yoav Stern. Instead, he says, the board only tried to disempower itself and ignore shareholder interests.
Murchinson now wants to replace all current board members including Stern. The proposed new directors are 5 independent candidates with experience in 3D printing, technology and corporate governance. According to Murchinson, this is the only way to end the “disastrous corporate governance” at Nano Dimension.
The Israel-based company has been known for its innovative 3D printers for years. However, it has so far failed to live up to expectations. The stock has lost more than 80% of its value. A new board of directors could turn things around, according to Murchinson. But it’s an open question whether CEO Stern and his comrades-in-arms will give up without a fight. The showdown will take place at the Annual General Meeting.