Stratasys under fire over Makerbot acquisition

On 20 February 2015, a lawsuit was filed against Stratasys by the City of Hollywood Police Officer’s Retirement System.It alleges that Bre Pettis & Stratasys misled Stratasys shareholders prior to the merger between the two companies. MakerBot CEO Bre Pettis said in a conference call on June 20, 2013 that MakerBot’s products

“were affordable and easy to use, which will drive future growth opportunities for Stratasys.”

In the lawsuit, it alleges the Makerbot CEO lied about the reliability of the Makerbot 3D printers, and did not disclose that the systems were experiencing reliability and quality issues. The smart extruder on the 5th generation Makerbots have been plagued with difficulty since their launch in January 2014.  iMakr in the UK have pulled Makerbot 3D printers from their shelves due to unhappy customers. Part of iMakrs promise is ‘to leave no stone unturned in order meet and surpass  customers’ expectations’ and they don’t want to sell something that their customers are not going to be happy with.

Makerbot however have been making an effort to support their customers and set it right. They are currently offering a trade in program for old extruders so that they can study them and improve it further.

The announcement that Stratasys would merge with Makerbot was released on June 19, 2013. Now on February 2, 2015 Stratasys announce that their fourth quarter revenues would miss their previous forecast by between $14 million and  $16 million. The lawsuit wants class status for any stockholders who purchased shares in Stratasys between 20 June 2013 and 2 February 2015.

Source: Legal News3DPrint

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