EXFO $310 Million Cross-Border Offering

On July 6, 2000, EXFO Electro-Optical Engineering Inc. (EXFO) closed its initial public offering in Canada and in the United States relating to the issue and sale of Subordinate Voting Shares. EXFO raised approximately $310 million from the IPO.

Based in Ste-Foy, Quebec, EXFO designs, manufactures and markets fiber-optic test, measurement, and monitoring instruments for the telecommunications industry. With sales in 1999 of US$42.3 million, EXFO has 700 employees including 185 full time engineers, scientists and technicians. EXFO has sold its products to clients in more than 70 countries, including blue chip telephone and cable operators.

Legal advice was provided to EXFO by Robert Paré, Peter Villani, François Duchesneau, Jean-François Hébert, Simon Marchand-Fortier and Frédéric Boucher of the Montreal and Quebec City offices of Fasken Martineau DuMoulin LLP, and by Edwin S. Maynard, Tong Yu and Cécile Baume of Paul, Weiss, Rifkind, Wharton & Garrison of New York. This offering was led by Merrill Lynch & Co. Inc. and also included as syndicate members RBC Dominion Securities Inc. and CIBC World Markets Inc. in Canada, with the addition of Wit SoundView in the United States. Legal advice to the underwriters was provided by Norman M. Steinberg, Dominique Fortin and Pierre Déry of the Montreal office of Ogilvy Renault and by Christopher W. Morgan, Riccardo A. Leofanti and Jason M. Saltzman of Skadden, Arps, Slate, Meagher & Flom LLP.