A Somerset-based manufacturer that makes specialist optical equipment, including for aerospace and defence purposes, has been bought in a multi-million pound takeover by an American private equity firm.
Photonics group Gooch & Housego has agreed to a £345.6 million takeover by US firm Arlington Capital Partners VII, putting another UK defence-linked manufacturer into American hands.
The sale was announced on July 16 and saw the company's shares jump significantly, but will require government approval under the National Security and Investment Act before the takeover can go ahead.
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Shares in the Ilminster-based Gooch & Housego jumped 39% on Thursday July 16 after the company accepted an offer from Greenlight Bidco Limited, a newly formed company owned indirectly by Maryland‑based fund Arlington Capital Partners VII.
The photonics specialist designs and manufactures precision optics and systems used in aerospace and defence, as well as for industrial and life sciences markets.
Gooch & Housego, founded in 1948, operates 11 manufacturing sites and supplies photonics used across the UK, US, Europe and Asia.
In the year to 30 September 2025, the company reported revenues of £150.5 million and adjusted profit before tax of £11.9 million. The deal values the company at £400.5 million.
Because of Gooch & Housego’s role in sensitive defence and industrial supply chains, the acquisition will need to clear national security and competition reviews.
In the UK, the transaction is subject to approval under the National Security and Investment Act 2021, while in the US it requires merger clearance under the Hart‑Scott‑Rodino Antitrust Improvements Act.
Despite the change of ownership, the new prospective owners said they have no plans to move Gooch & Housego’s headquarters or alter its operational role in Somerset.
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