Nanoparticle generation by laser ablation of a solid target in a liquid environment is an easy, fast, and “green” method for a large scale production of nanomaterials with tailored properties. In this letter we report the synthesis of CdTe nanoparticles by femtosecond laser 387 nm, 180 fs, 1 kHz, pulse energy=6 J fluence=1.7 J /cm2 ablation of the target material. Nanoparticles with diameters from 2 up to 25 nm were observed to be formed in the colloidal solution. Their size distribution follows the log-normal function with a statistical median diameter of 7.1 nm. Their crystal structure is the same as that of the bulk material cubic zincblende and they are slightly Cd-rich Cd:Te percentage ratio 1: 0.9. Photoluminescence emission from the produced nanoparticles was detected in the deep red 652 nm.