By Connor Hart

Shares of Poet Technologies rose after the company said it closed a $75 million investment that it will use to accelerate the growth of its artificial-intelligence connectivity solutions.

The stock climbed 8.5% to $6.92 in morning trading, extending its gain so far this year to about 16%.

The Toronto-based company, which designs optical engines and light sources for AI networks, ahead of the opening bell Tuesday said it issued and sold more than 13.6 million common shares and one common-share purchase warrant in a private placement for proceeds of $75 million, before deducting related expenses.

Net proceeds from the investment, which the company said marks the largest in its history, are earmarked for corporate development, such as targeted acquisitions, ramping research and development, accelerating the company's light-source business and expanding operations.

"The massive growth of AI infrastructure represents an unprecedented opportunity for which Poet is well prepared," Chief Executive Suresh Venkatesan said.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

October 07, 2025 10:44 ET (14:44 GMT)

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