Coherent takeover battle heats up after II-VI raises offer to $7 billion
(Reuters) – Coherent Inc said on Thursday that optical components maker II-VI Inc has increased its takeover bid to $7 billion, trumping Lumentum Holdings’ raised offer in a three-way battle to acquire the laser company.
Under the revised bid, Coherent shareholders would get $220 in cash and 0.91 of a II-VI share for each share they own.
On Wednesday, optical fiber company Lumentum raised its offer for Coherent to $6.9 billion.
However, Coherent is in favor of II-VI’s offer, calling it superior to that of Lumentum’s bid.
Coherent has emerged as an attractive takeover option as its microelectronics unit, which is also its largest, is expected to get a lift from demand for flat panel displays with organic light emitting diodes from mobile phone makers such as Apple Inc.
MKS Instruments jumped into the fray last month, offering $6 billion to buy Coherent.
Shares of Coherent, which have gained about 69% since Lumentum made its first buyout offer in January, were up 5.5% in trading before the bell on Thursday.
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