Axcelis to hold talks with TPG, Sumitomo Heavy

PHILADELPHIA, June 6 (Reuters) - Axcelis Technologies Inc (ACLS.O) said on Friday it would begin discussions with Sumitomo Heavy Industries Ltd (6302.T) and TPG Capital LP [TPG.UL], which made an unsolicited takeover bid for the semiconductor-equipment maker in February.

Axcelis said it would give its suitors access to confidential information. It cautioned there could be no assurance that the discussions would result in a deal.

Japan's Sumitomo Heavy and private equity firm TPG made a bid for Axcelis in February and sweetened the offer to $616 million in March. Axcelis had said the offer undervalued the company and failed to compensate it for the potential of new products. (Reporting by Jessica Hall, editing by Gerald E. McCormick) (For more M&A news and our DealZone blog, go to here)