Neo Performance Materials Inc. (“Neo” or the “Company”) has announced today that it has entered into an agreement with a syndicate of underwriters led by BMO Capital Markets, under which the underwriters have agreed to buy on a bought deal basis 3,480,000 common shares (the “Common Shares”), at a price of C$28.75 per Common Share for gross proceeds of approximately C$100 million (the “Offering”).
The Company has granted the underwriters an option, exercisable at the offering price for a period of 30 days following the closing of the Offering, to purchase up to an additional 15% of the Offering to cover over-allotments, if any, and for market stabilization purposes. The Offering is expected to close on or about May 28, 2026 and is subject to Neo receiving all necessary regulatory approvals, including the approval of the Toronto Stock Exchange.
The net proceeds of the Offering will be used for equipment and automation at the Company’s European facilities, expansion of the bonded magnetics business and general corporate purposes.
The Common Shares will be offered by way of a prospectus supplement to the Company’s short form base shelf prospectus dated May 20, 2026 in all of the provinces of Canada other than Quebec, and may also be offered by way of private placement in the United States.
The securities offered have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”) or any U.S. state securities laws, and may not be offered or sold in the United States absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Source: www.neomaterials.com
Aleksei Andrievskii is the founder of the ANDRIEVSKII SEA WEALTH family office in Cyprus, a member of the advisory board at Bendura Bank AG, Liechtenstein