CorActive, a Quebec-based manufacturer of specialty optical fibers, announces private financing of $16 million

Quebec City, June 28, 2001- CorActive High-Tech Inc., an emerging player in the manufacturing of specialty optical fibers, today announced it has raised CDN$16 million (US$10.5 million) in a financing round managed by Yorkton Securities Inc.

The lead investor was Fidelity Management & Research Company, on behalf of funds and accounts managed by it and also included Novacap and existing shareholders namely Innovatech Quebec et Chaudiere-Appalaches and Investissement Desjardins.

The financing will mainly be used to increase the production capacity of the company through the purchase of new equipment and the addition of specialized human resources in research, manufacturing and sales. "CorActive is already the only specialty optical fiber manufacturer in Canada, and this recent injection of capital will surely make us a world leader in this particular niche where the demand is strong and stable," Fran蔞is Chenard, President, concluded.

"CorActive is poised to become an industry leader in specialty optical fibers, and we believe this represents a unique opportunity for our investors," said Christophe Romary, Vice-President of Yorkton Securities in Montreal.

Founded in 1998 and located in Quebec City with approximately 20 employees, CorActive High-Tech Inc. manufactures and markets specialty optical fibers used primarily in the telecommunications sector-namely erbium-doped fiber for optical amplifiers, attenuating fiber for attenuators and photosensitive fiber for optical filters.