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Suitor withdraws unsolicited offer for Zygo

Three weeks after Zygo Corp.’s rejection, a Pennsylvania optical-technology rival declared it has withdrawn its unsolicited buyout offer for the Middlefield manufacturer.

II-VI Inc., based in suburban Pittsburgh, said it is no longer pursuing Zygo.

Both companies make optical devices used to measure fine tolerances in manufacturing semiconductors and industrial equipment.

Zygo on Feb. 16 formally rejected the $10-a-share offer, saying it was better prepared to proceed as an independent. When II-VI’s offer first surfaced, it was valued at $170 million, based on the market value of Zygo’s outstanding shares.

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Zygo’s spurn of II-VI’s offer came just days after Arizona electronics entrepreneur Chris Koliopoulos arrived as Zygo’s chairman and chief executive officer.

At late morning, Zygo was down $1.56, or 15.5 percent, at $8.50.

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