Coherent Inc. of Santa Clara, Calif., the majority shareholder in Lambda Physik AG since 1981, has tendered an offer for the remaining outstanding shares. According to Peter Schuman, director of Coherent investor relations, the offer is contingent upon the firm's capturing 95 percent of Lambda's registered share capital. The transaction should be completed by the end of July, after which Dirk Basting reportedly plans to resign as CEO of Lambda and instead serve in an advisory role to the firm, based in Göttingen, Germany. The goal will be to capture all shares, delist the stock from the Frankfurt Stock Exchange and take the company private again.This offer comes at a time when a downturn in the semiconductor market can lead to the undervaluing of shares in firms such as Lambda, which has carved a niche in the semiconductor lithography market and in UV-based laser micromachining. John Ambroseo, president and CEO of Coherent, said, "Upon completion of the tender offer, every effort will be made to maximize the synergies available to the combined companies and to leverage the combined technology portfolio and management expertise to optimize performance."Such a move should allow Lambda to focus on its core competencies in the development of UV laser technology -- and not on the impact of a semiconductor industry downturn on its stock price.