The ongoing bidding war for Coherent between Lumentum, II-VI, and MKS Instruments continues to develop.
As of today, Coherent has determined that a $6.8bn revised offer from II-VI is superior to the $6.6bn Lumentum offer it accepted on Wednesday.
Lumentum now has until 11:59pm Pacific Time on 17 March to amend its transaction agreement or waive matching rights. Under the terms of the merger agreement signed by Coherent on Wednesday, it would be required to pay a $217.6m termination fee to Lumentum if it accepts the latest II-VI offer.
The Coherent bidding war so far:
19 January: Coherent accepts a $5.7bn acquisition offer from Lumentum
Coherent stockholders would receive $100.00 per share in cash and 1.1851 shares of Lumentum common stock for each Coherent share they own.
8 February: Coherent receives a $6bn acquisition offer from MKS Instruments
Each share of Coherent common stock would be exchanged for $115.00 in cash and 0.7473 of a share of MKS common stock.
12 February: Coherent receives a $6.4bn acquisition offer from II-VI
Each share of Coherent common stock would be exchanged for $130.00 in cash and 1.3055 shares of II-VI common stock.
8 March: Coherent determines that a revised $6.5bn offer from II-VI is superior to two revised offers from Lumentum and a revised offer from MKS Instruments
Each share of Coherent common stock would be exchanged for $170.00 in cash and 1.0981 shares of II-VI common stock.
Under one of Lumentum’s revised proposals, each share of Coherent common stock would be exchanged for $175.00 in cash and 1.0109 shares of Lumentum common stock, coupled with a significantly high termination fee as a condition to accepting competing acquisition proposals. Under the other revised Lumentum proposal, each share of Coherent common stock would be exchanged for $170.00 in cash and 1.0109 shares of Lumentum common stock, coupled with a meaningfully high termination fee as a condition to accepting competing acquisition proposals.
Under the terms of MKS’ revised proposal, each share of Coherent common stock would be exchanged for $135.00 in cash and 0.7516 of a share of MKS common stock.
9 March: Coherent signs a revised $6.6bn merger agreement with Lumentum
Each share of Coherent common stock would be exchanged for $175.00 in cash and 1.0109 shares of Lumentum common stock. A $217.6m termination fee would be payable to Lumentum should Coherent accept a competing offer.
12 March: Coherent determines that a newly revised $6.8 billion offer from II-VI is superior to Lumentum’s offer
Each share of Coherent common stock would be exchanged for $195 in cash and 1.0 shares of II-VI common stock.
Coherent has notified Lumentum that it has until 11:59pm Pacific Time 17 March to amend its transaction agreement or waive matching rights. Under the terms of the agreement signed on 9 March, Coherent would be required to pay the $217.6m termination fee to Lumentum if it accepts the II-VI agreement.