Finisar Corp. –

SUNNYVALE, Calif. – Finisar Corp., a high-speed network equipment provider, went public November 12, offering 8.2 million shares at $19 apiece. The company’s stock priced above its $16 to $18 filing range.

Merrill Lynch & Co., J.P. Morgan & Co., Dain Rauscher Wessels, Morgan Keegan & Co. Inc. and SoundView Technology Group underwrote the initial public offering, which left 50.2 million shares outstanding.

TA Associates Inc. and Summit Partners were venture backers. There were no selling shareholders.

The company manufactures equipment that enables high-speed communications over local area networks (LANs) and storage area networks (SANs). Its optical subsystems convert electrical signals into optical signals for reliable high-speed data transmission over varying distances, speeds and media.

The $142.8 million in proceeds expected from the IPO will be used to repay debt, buy back outstanding shares of its redeemable preferred stock and for general corporate purposes, including working capital and capital expenditures.

Finisar has always generated a profit, earning $4.4 million in 1998 and $3 million in 1999.

Michael Child, a managing director at TA Associates, joined the company’s board of directors in November 1998.


Finisar – Selected Financial

(in thousands, except per share data)

Year Ended April 30 Three Months Ended July 31

1995 1996 1997 1998 1999 1998 1999

Total revenue 2,684 5,660 8,457 22,067 35,471 6,794 13,879

Net income 433 463 947 4,358 3,045 1,053 1,253

Net income per share 0.01 0.01 0.02 0.1 0.08 0.03 0.04