NeoPhotonics and Photon Technology complete merger

July 7, 2005
July 7, 2005, San Jose, CA and Shenzhen, China--NeoPhotonics and Photon Technology have completed their merger. The combined company will be called NeoPhotonics, expects revenues to exceed $50M in 2005, has more than 1200 employees, primarily in China and the U.S., and has more than 100 customers, many of which are tier one network equipment suppliers.

July 7, 2005, San Jose, CA and Shenzhen, China--NeoPhotonics and Photon Technology have completed their merger. The combined company will be called NeoPhotonics, expects revenues to exceed $50M in 2005, has more than 1200 employees, primarily in China and the U.S., and has more than 100 customers, many of which are tier one network equipment suppliers.

"This is an exciting time for us and our customers," said Tim Jenks, Chairman and CEO of NeoPhotonics. "The merged company is a 'one stop shop' for optical components, with a complete line of active and passive modules from the core to the edge of the network - and a particularly strong product portfolio for the booming FTTP [fiber-to-the-premise] sector, which is already approaching a $1 billion market size worldwide. We combine leading edge products and engineering prowess with high volume and low cost manufacturing and assembly capability in Shenzhen, China. With our commitment to quality, our technology, cost structure, operational efficiency and our customer focus, we believe that we will rapidly become one of the top manufacturers of optical network components."

Specifically, the two companies combine next generation passive planar lightwave circuit (PLC) technology with high volume laser and transceiver manufacturing capability. Key market opportunities include the integration of active lasers with passive filtering and alignment on PLC substrates for low cost triplexers used in "triple play" FTTP access networks, as well as transceiver modules for ROADMs (reconfigurable optical add/drop multiplexers) used in metro and long-haul networks.

NeoPhotonics will establish global headquarters in San Jose, California. The company will maintain principal manufacturing facilities in Shenzhen, with research and development facilities there, in San Jose and in Beijing. Sales offices will be located in China, the U.S. and Europe as well as other locations globally.

Zhangyong Huang, formerly President & CEO of Photon Technology and now President of the company's China operations, has been elected Vice-Chairman of the Board of NeoPhotonics. In addition to Mr. Huang, Robert Peng and Steve Xu have joined the Board of the new company, succeeding directors Ken Westrick and Maurice Gunderson.

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