#United States #Dallas #Canyon Partners #Advent #Coherent Corp

Canyon Partners Finances Acquisition of Coherent's Aerospace and Defense Business

Canyon Partners, LLC, a prominent global alternative investment manager with assets totaling $28 billion, has recently made headlines by providing a significant financing package to support Advent International in acquiring the Aerospace and Defense division of Coherent Corp. This news, reported on August 27, 2025, highlights Canyon's role as the lead lender in this strategic acquisition.

Background of Coherent's Aerospace Division

Coherent's Aerospace and Defense business is a key player in the optical components market, supplying critical high-powered energy laser modules and optical products that are essential to military and defense sectors. The products made at this division include vital components such as mirrors, lenses, windows, and advanced coatings, which are integral to a range of applications from military aircraft to satellites and missiles. With a dedicated workforce of over 500 employees based in various offices and facilities across the United States, the division has established itself as a leader in its field.

The acquisition allows Advent to harness the potential of this business as it separates from Coherent Corp, providing a robust platform for future growth and expansion. Canyon's financing package is designed to enable Advent to fortify the capital structure of the newly independent company, thereby facilitating its operational capabilities and expansion strategies post-acquisition.

Canyon Partners’ Commitment and Expertise

Davide Amico, Partner and Co-Head of Private Credit at Canyon Partners, expressed excitement about supporting Advent in this transformative deal. He emphasized the importance of their partnership and described this acquisition as a further illustration of their successful collaborations in sectors such as aerospace and defense-aligned companies, referencing past transactions with Cobham, Ultra Electronics, and Maxar.

Maximilian Lichtenheld, Managing Director at Canyon Partners, echoed Amico's sentiments. He underscored the importance of meeting the demands of defense platforms and highlighted the deal as a testament to Canyon's strategy of providing flexible and responsive capital solutions to high-quality businesses, navigating the complexities of acquisitions effectively.

Advent's Vision for Growth

Advent International is a respected global private equity investor focused on partnering with management teams and entrepreneurs to drive transformative growth. Shonnel Malani, Managing Partner at Advent, remarked on the exceptional heritage and pioneering technologies that Coherent's Aerospace and Defense business represents. He indicated that this acquisition aligns perfectly with Advent's existing investments in the sector and furthers their commitment to investing in crucial national security technologies.

Rory McMahon, Vice President at Advent, conveyed confidence in the acquisition, stating that they see significant potential for the business to thrive independently. Advent's strategic goal is to enhance the legacy of Coherent's Aerospace and Defense division, focusing on fostering innovation and scaling production capacities to meet evolving market needs.

Conclusion: A Future of Opportunity

This acquisition marks a pivotal moment for both Canyon Partners and Advent, positioning them well within the growing aerospace and defense sector amidst increasing demand for advanced technology. As they move forward, the partnership signals a promising chapter for Coherent's Aerospace and Defense division, with shared aspirations for innovation, growth, and enhanced capabilities to serve critical a military market. This transaction not only reinforces Canyon's reputation as a flexible capital provider but also showcases Advent's dedication to supporting mission-critical technologies in defense. The potential for growth within this independent entity is indeed vast, and stakeholders from both firms are optimistic about the future ahead.