Saxonburg, Pa.-based Coherent Corp., a photonics company, recently entered into a definitive agreement to sell its Aerospace and Defense business to Massachusetts-based Advent, a global private equity investor, for $400 million.
The Aerospace and Defense business designs and manufactures optical and laser systems for defense applications. The business employs approximately 550 people at 10 geographic locations. Coherent will use the proceeds to reduce debt.
“We are pleased to have reached this agreement with Advent,” Jim Anderson, Coherent CEO, said. “As part of our strategic portfolio optimization process, this transaction furthers our strategy to concentrate efforts on core growth markets and products.”
The deal is expected to close during the third quarter, subject to customary closing conditions. Once it closes, the Aerospace and Defense business will operate under a new, unannounced name.
“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,” Shonnel Malani, Advent managing partner, said. “This acquisition is complementary to our existing investments in the sector and underscores our commitment to investing in mission-critical national security technologies.”
Coherent operates in more than 20 countries
Advent has 16 offices on five continents. It has made more than 430 investments.