Enablence Technologies Inc.

Enablence Technologies Inc.

July 10, 2008 10:57 ET

DuPont Invests in Enablence Concurrent With Enablence's Acquisition of DuPont Photonics Technologies, LLC; Enablence Strengthens Its Management Team

OTTAWA, ONTARIO, CANADA--(Marketwire - July 10, 2008) - Enablence Technologies (TSX VENTURE:ENA), ("Enablence" or the "Corporation") a leading supplier of fiber-to-the-home (FTTH) equipment for triple-play residential and business services and optical components and subsystems for access, metro and long haul markets, announced today that it has signed a definitive Asset Purchase Agreement ("Agreement") with DuPont Photonics Technologies, LLC ("DuPont Photonics"), a wholly owned subsidiary of DuPont (NYSE:DD) to acquire certain assets of DuPont Photonics based in the Boston suburb of Wilimington, Massachusetts, subject to certain approvals, conditions and consents. Concurrent with the agreement, DuPont will make a cash investment in Enablence.

Under the terms of the Agreement Enablence will issue common shares equivalent to US$9.5M based on a 30 day average share price prior to the closing of the transaction for the assets and the investment. All shares issued will be subject to the statutory 120 days hold period. The conditions are expected to be satisfied on or before July 24, 2008.

DuPont Photonics has developed a switching fabric using Planar Lightwave Circuits (PLCs) that enable such devices as integrated Reconfigurable Optical Add Drop Multiplexers (ROADM), 1xN, MxN and NxN switches and variable optical attenuators. All the intellectual property and associated know-how will be transferred to Enablence under the terms of the Agreement.

"DuPont Photonics' product portfolio is complementary to our current component and subsystems offerings and is consistent with our vertical integration strategy that allows us to build on our core technology strength with higher value added products," explained Arvind Chhatbar, CEO of Enablence. "Our acquisitions allow us to focus on capturing innovative products and technologies that will help us solidify our Planar Lightwave Circuit (PLC) leadership position in the access, metro and long haul markets. We are also pleased with the investment DuPont is making in Enablence which will permit us to continue to build on the product portfolio we are acquiring from DuPont," added Chhatbar.

Enablence also announced that it has made changes to its corporate structure and management team effective today to expedite the integration of DuPont Photonics and other recent acquisitions. DuPont Photonics, Albis Optoelectronics, and ANDevices will now form the Optical Components and Subsystems Division of the Corporation and be headed by Dr. Jacob Sun, who was previously the CEO of ANDevices. He will continue in his role as Chief Operating Officer of Enablence and serve as President of Enablence's new Optical Components and Subsystems Division. Peter Cairoli, the President of Enablence's Albis Optoelectronics, will now head Enablence's European operations to assist in streamlining the Corporation's operations in that region.

Dan Hilton, the current Vice President of Finance and Administration has been given additional new responsibilities as Senior Vice President for Corporate Development and Administration and will lead Enablence's integration efforts related to recent mergers and acquisitions. Ronald I. Benn, a Chartered Accountant with several years experience as CFO in several publicly traded and private companies, has been appointed as Vice President of Finance taking over the finance function.

Tom Tighe, the former CEO of Wave 7 Optics, will lead Enablence's efforts in building our FTTx global deployments in his capacity as President of Enablence's new FTTx Networks Division.

About Enablence Technologies Inc.

Enablence Technologies Inc., (TSX VENTURE:ENA) a publicly traded company, designs, manufactures and sells optical components, subsystems and systems to a global customer base. With corporate headquarters in Ottawa, Ontario, Canada, the company has two divisions, the FTTx Networks Division and the Optical Components & Subsystems Division, which provide products for access, metro and long haul optical communications applications. The company's component products rely on proprietary planar lightwave circuit (PLC) technology to integrate multiple optical functionalities into a single optical chip to address the global rollout of Fiber to the Home (FTTH).

About DuPont Photonics

DuPont Photonics is a wholly owned subsidiary of DuPont (NYSE:DD) located in the Boston suburb of Wilmington, MA. DuPont Photonics designs and manufactures switching and reconfigurable optical components and modules for the global telecommunication and data communications optical networks.

About DuPont

DuPont is a science-based products and services company. Founded in 1802, DuPont puts science to work by creating sustainable solutions essential to a better, safer, healthier life for people everywhere. Operating in more than 70 countries, DuPont offers a wide range of innovative products and services for markets including agriculture and food; building and construction; communications; and transportation.

Forward Looking Statements

The statements in this press release may contain forward looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Corporation's expectations and projections.

The TSX Venture Exchange has not approved this press release and does not accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Enablence Technologies Inc.
    Arvind Chhatbar
    Chief Executive Officer