(Reuters) - Laser maker Coherent Inc said on Monday it has determined that optical components maker II-VI Inc’s revised buyout offer valued at $6.2 billion was superior to an agreed-upon deal with Lumentum Holdings Inc. Coherent is the target of a three-way bidding war as buyers target a larger share of a market set to benefit from rising adoption of 5G networks and consumer electronics. In January, Coherent agreed to a $5.7 billion deal with Lumentum and weeks later received a $6 billion rival offer from MKS Instruments. II-VI in February offered to pay $6.4 billion in a cash-and-stock deal, but with a lower cash component. Under the revised terms of II-VI’s offer, Coherent stockholders will receive a higher cash component of $170 and 1.0981 shares of II-VI common stock per share at the completion of the transaction. II-VI’s shares have lost a quarter of their value since the offer and closed at $74.61 on Friday. Coherent also said it intends to terminate its merger agreement with Lumentum if it did not receive a revised proposal by March 11. Lumentum said it would review II-VI’s proposal, adding that it does not expect to make further comments. Under Lumentum’s proposal, each Coherent share would be exchanged for $175 in cash and 1.0109 shares of Lumentum common stock, but also had a higher termination fee of about $218 million in case the deal didn’t go through. Bank of America and Credit Suisse are serving as financial advisers to Coherent, while Skadden, Arps, Slate, Meagher & Flom LLP is the legal adviser.