Lumentum Amends Agreement To Acquire Coherent In $6.6 Bln Cash & Stock Deal

(RTTNews) - Coherent, Inc. (COHR) has entered into a revised merger agreement with Lumentum Holdings Inc. (LITE). Lumentum will acquire Coherent in a cash and stock deal whereby Coherent stockholders will receive $175.00 per share in cash and 1.0109 shares of Lumentum common stock for each Coherent share they own. This equates to a consideration of $261.62 per Coherent share. Coherent stockholders are expected to own approximately 24% percent of the combined company.

Wajid Ali, CFO, Lumentum, said, "By increasing the cash and lowering the stock in the consideration mix relative to our prior agreement, we are able to deliver more overall value to Coherent stockholders while at the same time increasing earnings accretion. We expect to attain annual run-rate synergies of more than $190 million within 36 months of the closing and expect the transaction to be accretive to non-GAAP earnings per share during the first full year of combined operations."

The Coherent board recommended that stockholders vote for the proposed merger with Lumentum at the stockholder meeting.