Coherent, a global leader in photonics, announced today that it has reached a final agreement with Advent, a leading global private equity investor, to sell its Aerospace and Defense business for $400 million. The exchange will use it to reduce debt, which will immediately increase Coherent’s earnings per share (EPS).

Coherent’s aerospace and defense business focuses on designing and manufacturing optical and laser systems for defense applications, and currently has approximately 550 employees and 10 geographic sites.

Coherent CEO Jim Anderson said, “We are pleased to have reached an agreement with Advent. As part of our strategic portfolio optimization, this transaction helps us focus our resources on developing core growth markets and products. ”

Advent Managing Partner Shonnel Malani said, “Coherent’s aerospace and defense business has an excellent technological heritage and is committed to developing cutting-edge optical and laser technologies for the world’s most demanding applications. This acquisition complements our existing industry investments and demonstrates our commitment to critical national security technologies. We look forward to working with the management team and plan to significantly increase our R&D investment to consolidate our leading position in the field of advanced laser and optical solutions.”