Ottawa, Canada—Monday, January 9, 2006 // BTI Photonic Systems Inc., a global supplier of optical networking solutions for the build-out of new broadband services at the metro edge, announced today that it has closed a USD$12.25M Series C financing. The round was led by BDC Venture Capital with GrowthWorks Canadian Fund as a new investor and follow-on participation from existing investors Vengrowth Capital, Lucent Venture Partners, Kodiak Venture Partners and BCE Capital.
“BTI Photonic Systems has built an enviable base of top tier partners and customers. The company is well positioned to benefit from the broadband connectivity wave that is currently happening at the network edge,” said Les Lyall, Senior Vice President, GrowthWorks. “With the exceptional economics that a photonic layer approach can bring to carriers, BTI is capitalizing on the shift in Metro Network spending to the Edge. GrowthWorks is dedicated to investing in singular companies like BTI Photonic Systems, a company that has built a strong business model for the Metro Edge.”
"The expansion of Metro Edge broadband services is happening now. We are seeing a clear demand for our optical networking systems to help carriers offer broadband services such as IPTV, video-on-demand and wireless access,” said Lance Laking, CEO of BTI Photonic Systems. “This round of financing allows us to properly position BTI in a market that is now recognizing the value of edge optimized solutions. BTI will continue to grow our Netstender™ product portfolio to further enhance the service delivery capabilities of the photonic layer at the edge. The Series C financing will also support our ongoing market expansion across North America and Asia.”
“With carriers continuing to drive new broadband services, the Metro WDM market is predicted to overtake Long Haul in 2006. Network solutions such as BTI’s, radically alter the economics of traditional approaches and are well positioned for success as the market shifts,” said Pat DiPietro, Managing General Partner, Vengrowth Capital.
With strong acceptance in carrier networks, BTI will use this financing to enhance its operational growth, expand its market coverage and deliver product enhancements while continuing to work with leading partners to meet the needs of growing Metro Edge networks.
With a focus on making broadband telecommunications networks more flexible, easier to operate and less expensive, BTI Photonic Systems has developed its WDM Netstender™ platform, the industry's first metro edge optical system designed to utilize photonic layer architecture. Netstender consolidates key transport capabilities (DWDM/CWDM, Optical Multiplexing, Amplification, Dispersion Compensation and Wavelength Translation) within a single network element delivering industry leading CAPEX and OPEX savings, density and future-proof networking capabilities for the network edge. BTI’s Netstender addresses the issues of fiber relief, reach extension, 10G, 1G, and metro Ethernet service overlay enabling carriers to deliver new high-speed services while dramatically reducing their costs and increasing their overall market footprint. For more information, visit www.btiphotonics.com
GrowthWorks (www.growthworks.ca) is a recognized leader in venture capital fund management with proven experience in the raising, investing and managing of capital. GrowthWorks™ managed funds, including the Working Opportunity Fund, GrowthWorks Canadian Fund, GrowthWorks Commercialization Fund and GrowthWorks Atlantic Venture Fund have approximately $800 million in combined assets. GrowthWorks has a team of skilled and knowledgeable investment professionals with a combined 200 years of experience. The Investment team has a proven track record of identifying, analyzing and structuring investments in emerging sectors. GrowthWorks is a registered trademark of GrowthWorks Capital Ltd.
Media contact:
Glenn Thurston
BTI Photonic Systems
613-248-9154
gthurston@btiphotonics.com
