LightPath to Sell China Unit, Completing NDAA-Compliant Pivot
LightPath Technologies agreed to divest its Zhenjiang, China manufacturing operations for $4.5 million, capping a multi-year shift to a fully Western-aligned supply chain for defense optics.
LightPath Technologies (LPTH) agreed to sell LightPath (Zhenjiang) Optical Instrumentation Co., Ltd. to an undisclosed buyer for $4.5 million in an asset-purchase transaction.
The deal is expected to close in the coming weeks, subject to customary closing conditions. LightPath did not disclose the counterparty or the specific terms of the asset transfer beyond the headline consideration.
The divestiture completes LightPath's transition to a fully Western-aligned manufacturing footprint, reinforcing its position as a trusted provider of secure, NDAA-compliant optics and imaging solutions for defense and commercial markets. "Divesting our China operations marks the completion of LightPath's multi-year transformation into a Western-aligned, vertically integrated provider of optics and infrared imaging solutions," said Sam Rubin, President and Chief Executive Officer of LightPath.
The move caps a run of transactions aimed at repositioning LightPath around U.S. and allied manufacturing capacity. In February 2025, LightPath acquired G5 Infrared, LLC, a Hudson, N.H.-based maker of high-end cooled infrared camera systems, for $27.0 million in cash and stock, adding programs of record in border security and counter-UAS applications. That deal closed the following quarter and was followed in September 2025 by an $8.0 million strategic investment from Ondas Holdings Inc. (NASDAQ: ONDS) and Unusual Machines, Inc. (NYSE American: UMAC), both drone-industry suppliers seeking to secure NDAA-compliant optics supply chains outside China.
That sequence of deals tracks a broader industry response to Chinese export restrictions on germanium, a key infrared-optics material. LightPath has marketed its proprietary BlackDiamond glass as a domestically produced substitute, and its recent investors have cited the shift away from Chinese-sourced materials as a driver of demand for the company's technology.
LightPath framed the Zhenjiang sale as the final step in that realignment rather than the start of a new phase, positioning the combined U.S. and allied manufacturing base, anchored by its Orlando headquarters and the G5 facility in New Hampshire, as the platform for future growth in defense and commercial infrared imaging.