LightPath Technologies Completes Sale of China Operations
LightPath Technologies said it has completed the sale of its China-based subsidiary, LightPath (Zhenjiang) Optical Instrumentation Co., Ltd., to an entity owned by members of the subsidiary’s management team.
LightPath Technologies, Inc. (NASDAQ:LPTH) said it completed the sale of its wholly owned China-based subsidiary, LightPath (Zhenjiang) Optical Instrumentation Co., Ltd. (LPOIZ), on October 30, 2026. The transaction included LPOIZ’s manufacturing facility and operations and transferred ownership to an entity controlled by members of its incumbent management team.
Following the closing, LightPath said it no longer has facilities or operations in China. Its manufacturing locations are now in the U.S. and Europe.
Although LPOIZ has been divested, it is expected to continue providing products to LightPath for commercial customers in the U.S. and Europe. The subsidiary will operate as a third-party vendor under its new ownership.
LightPath said this arrangement is expected to support continuity of supply. However, the company identified risks related to whether the purchaser will meet its payment and supply obligations, as well as possible changes to LPOIZ’s operations, business priorities or financial condition.
Revenue generated by LPOIZ’s third-party customers will no longer be included in LightPath’s consolidated results after the transaction. That revenue averaged approximately $4.5 million annually across fiscal years 2025 and 2026.
LightPath’s primary manufacturing footprint is in Orlando, Florida, with additional facilities in Texas, New Hampshire and Latvia. The company provides optics and imaging systems for defense and commercial applications, including infrared optical systems, thermal imaging assemblies and chalcogenide-based glass materials sold under exclusive license from the U.S. Naval Research Laboratory.
Chief Executive Officer Sam Rubin said defense contractors and public safety agencies are increasingly focused on where optics are manufactured and who owns the production facilities. He said LightPath believes its non-China footprint positions it for programs that require non-China sourcing.
Rubin also said LightPath does not expect the transaction to have a material effect on the supply, quality or service provided to commercial customers. That expectation is subject to risks including potential disruption at LPOIZ and the purchaser’s ability to fulfil supply obligations.
LightPath said it remains focused on adding manufacturing capacity to address what it described as growing demand from defense customers. The company cautioned that its ability to expand capacity in a timely and cost-effective manner is subject to risk, including changes in U.S. and allied defense procurement priorities and funding.
Other risks identified by the company include fluctuations in product demand, the availability of raw materials and components, tariffs and other trade restrictions, economic uncertainty, geopolitical tensions and conflicts, and difficulties sustaining profitable sales growth, converting inventory to cash or reducing costs while maintaining competitive prices. LightPath said actual results may differ materially from its forward-looking statements and that further risks are detailed in its filings with the Securities and Exchange Commission.
LightPath Technologies closed the sale of LPOIZ and its China operations on October 30, 2026.
LPOIZ is expected to continue supplying LightPath’s commercial customers in the U.S. and Europe as a third-party vendor.
Revenue from LPOIZ’s third-party customers, which averaged approximately $4.5 million annually across fiscal years 2025 and 2026, will no longer be included in LightPath’s consolidated results.
LightPath said it has no remaining facilities or operations in China and is focused on adding manufacturing capacity for defense customers.
LightPath Technologies announced that it had closed the previously announced sale of its wholly owned subsidiary, LightPath (Zhenjiang) Optical Instrumentation Co., Ltd. (LPOIZ), including its manufacturing facility and operations in China, to an entity owned by members of LPOIZ's incumbent management team. Following the closing, LightPath said it no longer has any facilities or operations based in China.
LightPath Technologies said the sale was effective on October 30, 2026. The announcement was published on November 5, 2026.
Under its new ownership, LPOIZ will continue supplying LightPath with products for commercial customers in the U.S. and Europe as a third-party vendor. LightPath said this is expected to provide continuity of supply, although it identified a risk that the purchaser may not perform its payment or supply obligations and that LPOIZ's operations, business priorities or financial condition could change under the new ownership.
Revenue from LPOIZ's third-party customers will no longer be included in LightPath Technologies' consolidated results following the closing. LightPath said that revenue averaged approximately $4.5 million annually across fiscal years 2025 and 2026.
LightPath Technologies said its facilities are now located in the U.S. and Europe, with its primary manufacturing footprint in Orlando, Florida and additional facilities in Texas, New Hampshire and Latvia. The company said it no longer has facilities or operations based in China.
LightPath Technologies provides next-generation optics and imaging systems for defence and commercial applications. Its vertically integrated solutions include in-house engineering design support, proprietary BlackDiamond™ chalcogenide-based glass materials sold under exclusive licence from the U.S. Naval Research Laboratory, complete infrared optical systems and thermal imaging assemblies.
Chief Executive Officer Sam Rubin said defence primes and public safety agencies increasingly want to know where their optics are made and who owns the facilities that make them. He said LightPath believes its non-China manufacturing footprint positions it for programmes where non-China sourcing is required.
LightPath Technologies said it does not expect any material impact on the supply, quality or service received by its commercial customers. This is a forward-looking statement and is subject to risks including disruption to LPOIZ's operations and the purchaser's ability to meet its supply obligations.
Sam Rubin said LightPath Technologies remains focused on adding manufacturing capacity to meet growing demand from defence customers. The company cautioned that its ability to add capacity in a timely and cost-effective manner is subject to risk, along with changes in defence procurement priorities and funding and varying demand for its products.
LightPath Technologies' shares trade on the Nasdaq under the ticker symbol NASDAQ:LPTH.
LightPath Technologies said its forward-looking statements are subject to risks including supply or payment failures by the purchaser of LPOIZ, changes in LPOIZ's operations or financial condition, difficulties adding manufacturing capacity, changes in U.S. and allied defence procurement priorities and funding, varying product demand, supply of raw materials and components, tariffs and other trade restrictions, economic uncertainty, geopolitical tensions and conflicts, and the company's ability to sustain profitable sales growth, convert inventory to cash and reduce costs. The company also referred to risks that could prevent it from implementing or realising the anticipated benefits of its initiatives, and said actual results may differ materially from those expressed or suggested by the statements.