WD Lab Grown Diamonds, which filed for bankruptcy two weeks ago, has reemerged as WD Advanced Materials (WDAM), with a focus on growing lab-grown diamonds for “technical diamond applications.”
Tree Line Capital Partners, a private asset management firm, created WDAM in partnership with the company’s existing team, the new entity said Wednesday. Tree Line was listed as a secured creditor of the bankrupt company.
Mike Grunza, CEO and a board member of Huron, the owner of WD Lab Grown Diamonds, is serving as acting CEO. John Ciraldo, who was chief technology officer of the former company, is in the same role at WDAM.
The new company is no longer creating gem-quality diamonds with its chemical vapor deposition (CVD), it said. Instead, it will use its existing diamond-manufacturing facilities to produce “scientific-grade diamond material” for electronic, quantum and optical substrate applications. It further describes its diamonds as a “supermaterial.”
On its website, it cites the use of its diamonds for electronic vehicles, quantum computing telecommunications, and air and water purification systems. The new company has obtained “government contracts, industry collaborations and commercial partnerships,” it claimed.
“WDAM’s foundation of material science mastery, coupled with its pioneering, innovative work and exceptional technical team, enables us to power the world’s leading agencies and industries with cutting-edge diamond-based solutions for the future,” said Tom Quimby, Tree Line managing partner.
WD Lab Grown Diamonds was founded in 2008 and based in Washington, DC. On October 15, the company filed for Chapter 7 bankruptcy, saying it had between 100 and 199 creditors and $3.1 million in assets.
Chapter 7 is a form of bankruptcy that enables the eradication of debts but involves the company going out of business.
Main image: A 9.04-carat synthetic diamond WD Lab Grown Diamonds produced in 2018. (WD Lab Grown Diamonds)