Coherent to Sell Aerospace & Defense Unit to Advent

Photonics company Coherent has reached an agreement to sell its Aerospace and Defense business to Advent, a global private equity investor.

Advent said Wednesday it will acquire the business, including around 550 employees and 10 geographic sites, for $400 million. The deal is projected to be finalized in the third quarter of 2025, subject to standard closing conditions. Once the sale is completed, the acquired business will transition to a new name, which will be revealed later. The Aerospace and Defense business, which offers advanced optical and laser technologies for defense use, will remain under the Coherent brand until then.

Proceeds from the sale are earmarked for debt reduction, which is expected to impact Coherent’s earnings per share.

Remarks From Coherent, Advent Executives

“We are pleased to have reached this agreement with Advent. As part of our strategic portfolio optimization process, this transaction furthers our strategy to concentrate efforts on core growth markets and products,” said Jim Anderson, CEO of Coherent.

“We believe Coherent’s Aerospace and Defense business is an exceptional business with a distinguished heritage in pioneering optical and laser technology for the world’s most demanding applications,” said Shonnel Malani, managing partner at Advent. “This acquisition is complementary to our existing investments in the sector and underscores our commitment to investing in mission-critical national security technologies.”

Sponsor