Key Takeaways
- • Gooch & Housego agrees to £345.6m cash takeover by Arlington Capital Partners via newly formed entity Greenlight Bidco, with shareholders receiving 1,230.0 pence per share in cash plus a 4.9 pence interim dividend (total 1,234.9 pence per share).
- • 75-year-old Somerset precision photonics manufacturer operates 11 manufacturing sites and supplies aerospace, defence, industrial, and life sciences sectors across Europe, Asia, and the US; represents Arlington's entry into specialized optical systems market.
- • Board unanimously recommends shareholder approval of the all-cash offer, which G&H characterizes as a significant premium to recent trading levels while acknowledging recognition of the company's strategic market position and growth prospects.
- • Management continuity secured with CEO Charlie Peppiatt and CFO James Corte remaining in place alongside the existing management team under Arlington's ownership.
- • Advisory teams: Investec and Rothschild & Co advised G&H; Kirkland & Ellis International advised Bidco/ACP; Burges Salmon advised G&H on legal matters.
Summary
Gooch & Housego (G&H), an Ilminster-based precision photonics and optical systems manufacturer, has agreed to a £345.6m all-cash takeover by Arlington Capital Partners (ACP), a Washington-based private equity firm operating through newly formed acquisition vehicle Greenlight Bidco. The transaction was announced on Thursday, 16 July 2026, following board approval and represents a significant exit for the company's shareholders at a substantial premium to recent share price levels.
Under the agreed terms, G&H shareholders will receive 1,230.0 pence per share in cash, with an additional interim dividend of 4.9 pence per share, totaling 1,234.9 pence per share. The board has committed to unanimously recommend the offer to shareholders for approval. Gary Bullard, G&H's chair, stated that the offer "provides G&H Shareholders with immediate and certain value in cash at a significant premium to recent share price levels, while also recognising the value of G&H's strategy, market position and long-term growth prospects."
G&H was established in 1948 and operates 11 manufacturing sites supplying a diversified customer base across aerospace and defence, industrial, and life sciences markets in Europe, Asia, and the United States. The company has established a specialized reputation in precision photonics and optical components critical to next-generation sensing and optical applications. Peter Manos, managing partner of Arlington Capital Partners, characterized G&H as having "built an exceptional reputation as a precision photonics and optical systems supplier" and emphasized the firm's commitment to supporting the existing management team—including CEO Charlie Peppiatt and CFO James Corte—in addressing growing customer demand in these high-growth sectors.
The transaction was advised by leading financial and legal counsel: Investec and Rothschild & Co advised G&H, while Kirkland & Ellis International acted for Bidco and ACP. Burges Salmon provided legal counsel to G&H. The all-cash structure and management continuity signal Arlington's confidence in G&H's market position and operational capabilities within the specialized optical and photonics supply chain serving defence and aerospace markets.
Under the agreed terms, G&H shareholders will receive 1,230.0 pence per share in cash, with an additional interim dividend of 4.9 pence per share, totaling 1,234.9 pence per share. The board has committed to unanimously recommend the offer to shareholders for approval. Gary Bullard, G&H's chair, stated that the offer "provides G&H Shareholders with immediate and certain value in cash at a significant premium to recent share price levels, while also recognising the value of G&H's strategy, market position and long-term growth prospects."
G&H was established in 1948 and operates 11 manufacturing sites supplying a diversified customer base across aerospace and defence, industrial, and life sciences markets in Europe, Asia, and the United States. The company has established a specialized reputation in precision photonics and optical components critical to next-generation sensing and optical applications. Peter Manos, managing partner of Arlington Capital Partners, characterized G&H as having "built an exceptional reputation as a precision photonics and optical systems supplier" and emphasized the firm's commitment to supporting the existing management team—including CEO Charlie Peppiatt and CFO James Corte—in addressing growing customer demand in these high-growth sectors.
The transaction was advised by leading financial and legal counsel: Investec and Rothschild & Co advised G&H, while Kirkland & Ellis International acted for Bidco and ACP. Burges Salmon provided legal counsel to G&H. The all-cash structure and management continuity signal Arlington's confidence in G&H's market position and operational capabilities within the specialized optical and photonics supply chain serving defence and aerospace markets.
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