Eurazeo Croissance has acquired optoelectronic component maker 3S Photonics with the purchase of the holdings of Fonds Stratégique d’Investissement (FSI) and will spend 10 million euros (about $13.7 million) to finance its growth, Eurazeo announced. Its total equity investment in 3S Photonics is 37 million euro (about $51 million), or about 83 percent of 3S Photonics' capital.

3S Photonics, formerly Alcatel Optronics, is a supplier of laser chips, discrete modules and optical components for telecommunications networks. The company was created in April 2007 when it was acquired from Avanex by Alexandre Krivine, the company’s main shareholder and current president and CEO, and Didier Sauvage, former manager of the Nozay site within Avanex and now the company’s chief operating officer and vice president of research and development.

3S Photonics makes optical and optoelectronic components for submarine telecom applications — its historical core business — as well as for terrestrial telecom applications. The company also is active in high-speed telecom networks and industrial fiber lasers, supplying products for industrial, medical and defense applications. It generated 51 million euros in revenue for fiscal 2011, which ended June 30, and employs about 400 people.

The company has two production centers, one in Nozay to make laser chips and the other in Canada that produces optical fibers.

Eurazeo said it will help 3S Photonics consolidate its position in traditional telecom markets and broaden its presence in the industrial laser market. It will be supporting 3S's external growth policy, including through future reinvestment.

"We will be supporting Alexandre Krivine and his team, continuing the work begun with the help of FSI to make 3S Photonics a true global leader in the optoelectronic components market," said Fabrice de Gaudemar, Eurazeo executive board member responsible for Eurazeo Croissance.

"FSI's intervention in 2009 facilitated a first round of financing, helping to enable 3S Photonics' acquisition of Avensys," said Thierry Sommelet, director of Investment of FSI."

Krivine also said he welcomed Eurazeo's investment, and "with their support, we look forward to accelerating our organic and external growth and seizing opportunities offered by the international consolidation of our industry."

For more information, visit: www.eurazeo.com