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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

SCHEDULE TO
TENDER OFFER STATEMENT UNDER SECTION 14(D)(L) OR 13(E)(L)
OF THE SECURITIES EXCHANGE ACT OF 1934
(Amendment No. 2)

COGENT, INC.
(Name of Subject Company (Issuer))

3M COMPANY
VENTURA ACQUISITION CORPORATION
(Name of Filing Persons (Offerors))

Common Stock, $0.001 Par Value Per Share
(Title of Class of Securities)

19239Y 10 8
(CUSIP Number of Class of Securities)

Gregg M. Larson
Deputy General Counsel and Secretary
3M Company
3M Center
St. Paul, Minnesota 55133
(651) 733-2204
(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications on Behalf of Filing Persons)

Copies to:
Christopher E. Austin
Cleary Gottlieb Steen & Hamilton LLP
One Liberty Plaza
New York, New York 10006
(212) 225-2000

CALCULATION OF FILING FEE

 
Transaction Valuation*
  Amount of Filing Fee**
 
$950,582,062.50   $67,776.50
 
*
Estimated solely for purposes of calculating the filing fee pursuant to Rule 0-1l(d) under the Securities Exchange Act of 1934, as amended (the "Exchange Act"). The Transaction Valuation was calculated on the basis of (a) 90,531,625 shares of common stock, $0.001 par value per share, of Cogent, Inc. (the "Shares"), the estimated maximum number of Common Shares that may be acquired in this tender offer (representing as of August 27, 2010 (i) 88,389,700 Common Shares issued and outstanding, (ii) 1,144,226 Common Shares issuable upon the exercise of outstanding options and (iii) 997,699 Common Shares issuable upon the exercise of outstanding restricted stock units), multiplied by (b) the offer price of $10.50 per Common Share.

**
The filing fee, calculated in accordance with Rule 0-11 of the Securities Exchange Act of 1934, and Fee Rate Advisory #4 for fiscal year 2010, issued December 17, 2009, by multiplying the transaction value by 0.00007130.


o
Check the box if any part of the fee is offset as provided by Rule 0-11(a)(2) and identify the filing with which the offsetting fee was previously paid. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing.
Amount Previously Paid: $67,776.50   Filing Party: 3M Company, Ventura Acquisition Corporation
Form or Registration No.: Schedule TO   Date Filed: September 10, 2010
o
Check the box if the filing relates solely to preliminary communications made before the commencement of a tender offer.

         Check the appropriate boxes below to designate any transactions to which the statement relates:

ý
third-party tender offer subject to Rule 14d-1.

o
issuer tender offer subject to Rule 13e-4.

o
going-private transaction subject to Rule 13e-3.

o
amendment to Schedule 13D under Rule 13d-2.

         Check the following box if the filing is a final amendment reporting the results of the tender offer: o


        This Amendment No. 2 ("Amendment No. 2") amends and supplements the Tender Offer Statement on Schedule TO (the "Schedule TO") originally filed on September 10, 2010, as amended and supplemented by Amendment No. 1 filed on September 16, 2010, by Ventura Acquisition Corporation, a Delaware corporation ("Purchaser") and a direct wholly-owned subsidiary of 3M Company, a Delaware corporation ("3M"), to purchase all outstanding shares of common stock, par value $0.001 (the "Shares"), of Cogent, Inc., a Delaware corporation ("Cogent"), at a price of $10.50 per share, net to the seller in cash, without interest thereon and less any required withholding taxes, upon the terms and subject to the conditions set forth in the Offer to Purchase dated September 10, 2010 (the "Offer to Purchase"), which is annexed to and filed with the Schedule TO as Exhibit (a)(1)(A), and in the related Letter of Transmittal and Notice of Guaranteed Delivery, which are annexed to and filed with the Schedule TO as Exhibits (a)(1)(B) and (a)(1)(C), respectively, which, together with any amendments or supplements thereto, collectively constitute the "Offer."

        All capitalized terms used in this Amendment No. 2 without definition have the meanings ascribed to them in the Schedule TO.

        The items of the Schedule TO set forth below are hereby amended and supplemented as follows:

Item 2.    Subject Company Information

        The Offer to Purchase is hereby amended by:

        On page 15 of the Offer to Purchase, deleting the last two sentences of the first paragraph under "Prospective Financial Information".

        On page 15 of the Offer to Purchase, amending and restating the first sentence of the third paragraph under "Prospective Financial Information" in its entirety as follows:

        On page 16 of the Offer to Purchase, adding the following as a new seventh paragraph under "Prospective Financial Information":

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        On page 16, replacing the table in its entirety with the following table and footnotes:

 
  2010*   2011*   2012*   2013*   2014*   2015*  
 
  FY
  FY
  FY
  FY
  FY
  FY
 
 
  (amounts in thousands)
 

Total Revenue (GAAP)

  $ 140,005   $ 166,458   $ 182,544   $ 203,917   $ 227,419   $ 248,272  

Total Gross Profit (non-GAAP)

  $ 92,797   $ 94,787   $ 106,351   $ 116,299   $ 130,609   $ 143,553  

Total Operating Expenses (non-GAAP)

  $ 41,854   $ 46,140   $ 51,028   $ 56,611   $ 62,992   $ 70,294  

EBIT (non-GAAP)

  $ 50,942   $ 48,647   $ 55,323   $ 59,688   $ 67,617   $ 73,259  

EBITDA (non-GAAP)

  $ 53,942   $ 51,722   $ 58,475   $ 62,919   $ 70,928   $ 76,654  


GAAP TO NON-GAAP RECONCILIATION


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Gross Profit

                                     

Total Gross Profit (GAAP)

  $ 91,594   $ 93,357   $ 104,783   $ 114,548   $ 128,656   $ 141,421  

Share-Based Compensation Expense(1)

  $ 1,203   $ 1,430   $ 1,568   $ 1,751   $ 1,953   $ 2,132  
                           

Total Gross Profit (non-GAAP)

  $ 92,797   $ 94,787   $ 106,351   $ 116,299   $ 130,609   $ 143,553  
                           

Total Operating Expenses

                                     

Total Operating Expenses (GAAP)

  $ 44,517   $ 49,305   $ 54,499   $ 60,488   $ 67,317   $ 75,015  

Share-Based Compensation Expense(2)

  $ 2,662   $ 3,165   $ 3,471   $ 3,877   $ 4,324   $ 4,721  
                           

Total Operating Expenses (non-GAAP)

  $ 41,854   $ 46,140   $ 51,028   $ 56,611   $ 62,992   $ 70,294  
                           

EBIT and EBITDA

                                     

Net Income (GAAP)

  $ 33,527   $ 33,060   $ 37,268   $ 40,018   $ 44,951   $ 48,584  

Income Tax (GAAP)(3)

  $ 21,435   $ 21,137   $ 23,827   $ 25,586   $ 28,739   $ 31,062  

Interest Income(4)

  $ (7,884 ) $ (10,145 ) $ (10,811 ) $ (11,545 ) $ (12,352 ) $ (13,240 )

Total Share-Based Compensation Expense(5)

  $ 3,865   $ 4,595   $ 5,039   $ 5,629   $ 6,278   $ 6,853  
                           

EBIT (non-GAAP)

  $ 50,942   $ 48,647   $ 55,323   $ 59,688   $ 67,617   $ 73,259  
                           

Depreciation and Amortization Expense

  $ 3,000   $ 3,075   $ 3,152   $ 3,231   $ 3,331   $ 3,394  
                           

EBITDA (non-GAAP)

  $ 53,942   $ 51,722   $ 58,475   $ 62,919   $ 70,928   $ 76,654  
                           

*
The prospective information includes certain assumptions about new revenue opportunities that Cogent had separately identified to 3M.

(1)
Assumes share-based compensation expense allocated to cost of product revenues and cost of maintenance and services revenues equal to 31.1% of total share-based compensation expense for all periods.

(2)
Assumes share-based compensation expense allocated to research and development, selling and marketing and general and administrative equal to 68.9% of total share-based compensation expense for all periods.

(3)
Assumes a tax rate of 39% for all periods.

(4)
Assumes an interest income rate of 1.4% for FY 2010 and an interest income rate of 1.8% for all other periods.

3


(5)
Assumes share-based compensation expense of 2.8% of total revenue for all periods."

Item 4.    Terms of the Transaction

        The Offer to Purchase is hereby amended by:

        On page 4 of the Offer to Purchase, amending and restating the first sentence of the tenth paragraph of Section 1 entitled "Terms of the Offer" in its entirety as follows:

        On page 8 of the Offer to Purchase, amending and restating the first sentence of the last paragraph of Section 3 entitled "Procedures for Tendering Shares" in its entirety as follows:

        On page 8 of the Offer to Purchase, amending and restating the last sentence of the last paragraph of Section 3 entitled "Procedures for Tendering Shares" in its entirety as follows:

        On page 9 of the Offer to Purchase, amending and restating the first sentence of the third paragraph of Section 4 entitled "Withdrawal Rights" in its entirety as follows:

        On page 36 of the Offer to Purchase, amending and restating paragraph (iii)(G) of Section 13 entitled "Conditions of the Offer" in its entirety as follows:

        On page 36 of the Offer to Purchase, amending and restating the last paragraph of Section 13 entitled "Conditions to the Offer" in its entirety as follows:

4


Item 7.    Source and Amount of Funds or Other Consideration.

        The Offer to Purchase is hereby amended by:

        On page 34 of the Offer to Purchase, deleting the third sentence of the paragraph under Section 12 entitled "Source and Amount of Funds" and replacing it with the following:

Item 9.    Persons/Assets Retained/Employed, Compensated or Used.

        The Offer to Purchase is hereby amended by:

        On page 21 of the Offer to Purchase, amending and restating the penultimate paragraph under Section 10 entitled "Background of the Offer; Contacts with Cogent" in its entirety as follows:

        On page 32 of the Offer to Purchase, inserting the following sentence after the first sentence of the first paragraph under "Executive Compensation Arrangements":

        On page 34 of the Offer to Purchase, adding the following as a new seventh paragraph under "Executive Compensation Arrangements":

        "In addition, on August 29, 2010, Jian Xie, Cogent's Vice President, System Integration, Bruno Lassus, Cogent's Vice President, Commercial Systems, Mary Jane Abalos, Cogent's Vice President of Planning and Finance Operations, and Ankuo Wang, Cogent's General Manager—China, entered into retention agreements with us and Cogent containing terms substantially similar to the terms of the Retention Agreements executed by Messrs. Jasinski and Hollowich."

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SIGNATURE

        After due inquiry and to the best of my knowledge and belief, I certify that the information set forth in this Schedule TO is true, complete and correct.

Dated: September 24, 2010

    3M COMPANY

 

 

By:

 

/s/ GREGG M. LARSON

Name:  Gregg M. Larson
Title:    Deputy General Counsel and Secretary

 

 

VENTURA ACQUISITION CORPORATION

 

 

By:

 

/s/ CAROL A. PETERSON

Name:  Carol A. Peterson
Title:    Secretary

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