NeoPhotonics Receives Russian Investment

SAN JOSE, Calif. -- NeoPhotonics Corporation (NYSE: NPTN) (the “Company”), a leading designer and manufacturer of photonic integrated circuit, or PIC, based modules and subsystems for bandwidth-intensive, high speed communications networks, today announced that it has received an investment from RUSNANO, a $10 billion sovereign investment corporation located in Moscow, Russia. RUSNANO acquired 4.97 million newly-issued common shares of NeoPhotonics Corporation in a private placement transaction at a price of $8.00 per share for gross proceeds of $39.8 million. The Company’s per share closing trading price on April 27, 2012, was $4.49. The shares are restricted from resale pursuant to a lockup agreement for up to two years, at the end of which the Company is obligated to register the shares for potential resale. In connection with the investment, the Company appointed Sergey Polikarpov, RUSNANO Managing Director, to the board of directors.

“We are pleased to receive this strategic investment from RUSNANO,” said Tim Jenks, Chairman, President and CEO of NeoPhotonics. “We welcomed this investment as it aligns with our strategy to accelerate growth globally, with particular emphasis on fast growing and emerging markets, including in Russia and the CIS countries.”

“Not only are these markets deploying high speed, agile and fiber-to-the-home networks but we are also seeing more of our customers target service providers and invest locally in Russia and more broadly in Eastern Europe,” continued Mr. Jenks. “We started to see and investigate this growth opportunity several years ago, and we added sales capability in the region and have since been engaged with and supplying several customers in Russia. With the planned support from RUSNANO, we believe that NeoPhotonics is well-positioned to capitalize on new and greater opportunities in the region.”

NeoPhotonics Corp. (NYSE: NPTN)