IPG Photonics to offer shares to public

Feb. 28, 2012
IPG Photonics commences public offering of 3 million shares of common stock.

Oxford, MA – The world’s leading manufacturer of industrial fiber lasers, IPG Photonics Corporation (Nasdaq Global Market: IPGP), today announced that it has commenced a public offering of up to 3,000,000 shares of its common stock, consisting of 2,800,000 shares to be sold by the Company and up to 200,000 shares to be sold by the Company’s chairman and chief executive officer, Dr. Valentin P. Gapontsev. The Company intends to grant to the underwriters a 30-day option to purchase up to an additional 450,000 shares of the Company’s common stock.

IPG Photonics the leading developer and manufacturer of a broad line of high-performance fiber lasers, fiber amplifiers and diode lasers that are used in numerous applications in diverse end markets, plans to use the net proceeds of the offering for general corporate purposes and to fund capital expenditures and working capital requirements. The Company may also use some of the net proceeds for acquisitions of complementary businesses and technologies, although no such acquisitions are currently pending.

BofA Merrill Lynch will be the sole bookrunning manager for this offering and Needham & Company, LLC and Stifel Nicolaus Weisel will act as co-managers.

An automatic shelf registration statement relating to the securities to be offered in this offering was filed with the Securities and Exchange Commission (the “SEC”) on February 27, 2012. The offering of these securities will be made pursuant to a prospectus supplement to the prospectus contained in the shelf registration statement, which prospectus supplement will be filed with the SEC. The prospectus and prospectus supplement will be available at no charge on the SEC’s Web site at www.sec.gov. When available, copies of the prospectus and prospectus supplement also may be obtained from BofA Merrill Lynch, 4 World Financial Center, New York, NY 10080, Attention: Prospectus Department, or by emailing a request to www.ipgphotonics.com.

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