5th November 2006

Mergers & Acquisitions: StockerYale Acquires Photonic Products

StockerYale, Inc., the independent provider of photonic-based products, has acquired privately held Photonic Products Ltd. of the UK, a well-known provider of laser diode modules and laser diodes for industrial, medical and scientific markets for $9.4 m in cash, stock and bonds.

This strategic acquisition will significantly broaden StockerYale's product portfolio of laser modules, increase StockerYale's 2006 pro forma revenues by approximately 50%, and is expected to substantially improve the profitability and cash flow of the Company on a consolidated basis.

Web: http://www.stockeryale.com