TORONTO, Dec. 23,
2024 /CNW/
- Neo Performance Materials Inc. ("Neo") (TSX:
NEO) announced today that the closing of the sale of its (i)
86% equity interest in Jiangyin Jiahua Advanced Material Resources
Co., Ltd. ("JAMR") to Shenghe Resources Holding Co., Ltd
("Shenghe") for approximately USD$25.6 million cash; and (ii) 100% of the
equity in Zibo Jiahua Advanced Material Resources Co., Ltd.
("ZAMR") to Shenghe for approximately USD$4.1 million cash (collectively, the
"Transactions") is now expected to occur in Q1 2025, as
opposed to Q4 2024 as was anticipated at the time the Transactions
were announced in August 2024.
The delay in the timing for closing of the sale of Neo's
interest in JAMR and ZAMR is related to the satisfaction of various
local jurisdictional, administrative filings, registrations and
approvals, and the parties anticipate receiving all required
regulatory approvals from Chinese regulatory authorities and
satisfying the applicable closing conditions to the Transactions in
Q1 2025. In furtherance of the foregoing, Neo is in continuing
discussions with Shenghe regarding the Transactions and the
parties are working constructively to be responsive to commentary
from applicable regulatory authorities with a view to obtaining all
required regulatory approvals and satisfying the applicable closing
conditions as soon as practicable in Q1 2025.
About Neo Performance Materials
Neo manufactures the building blocks of many modern technologies
that enhance efficiency and sustainability. Neo's advanced
industrial materials - magnetic powders and
magnets, specialty chemicals, metals, and
alloys - are critical to the performance of many
everyday products and emerging technologies. Neo's products help to
deliver the technologies of tomorrow to consumers today. Neo's
business is organized into three segments: Magnequench,
Chemicals & Oxides, and Rare Metals. Neo is headquartered in
Toronto, Ontario, Canada; with
corporate offices in Greenwood Village,
Colorado, United States;
Singapore; and Beijing, China. Neo has a global platform that
includes 9 manufacturing facilities located in China, the United
States, Germany,
Canada, Estonia, Thailand and the United Kingdom, as well as one dedicated
research and development centre in Singapore. For more information, please
visit www.neomaterials.com.
Cautionary Statements Regarding Forward Looking
Statements
This news release may contain "forward-looking information"
within the meaning of applicable Canadian securities legislation.
Generally, but not always, forward-looking information and
statements can be identified by the use of words such as "plans",
"expects", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates", or "believes" or the
negative connotation thereof or variations of such words and
phrases or state that certain actions, events or results "may",
"could", "would", "might" or "will be taken", "occur" or "be
achieved" or the negative connotation thereof. Specific
forward-looking statements in this news release include, but are
not limited to, the completion of the Transactions and other
matters relating thereto, including the anticipated timing of
closing of the Transactions together with obtaining all required
regulatory approvals from Chinese regulatory authorities and the
satisfaction of applicable closing conditions. In making the
forward-looking information in this news release, the Company has
applied certain factors and assumptions that are based on its
current beliefs as well as assumptions made by and information
currently available to the Company. Although the Company considers
these assumptions to be reasonable based on information currently
available to it, they may prove to be incorrect, and the
forward-looking information in this release are subject to numerous
risks, uncertainties and other factors that may cause future
results to differ materially from those expressed or implied in
such forward-looking information. There are many risk factors
associated with the completion of the Transactions. A number of
factors could cause actual results to differ materially from those
anticipated by the Company, including but not limited to the risks
and uncertainties inherent in the nature of the Transactions
including the failure to obtain necessary regulatory approvals, or
to otherwise satisfy the conditions of the Transactions, in a
timely manner by the outside date or at all, risks of a material
adverse change the Company's assets or revenues, or risks of
unknown liabilities that may arise.
Readers are cautioned not to place undue reliance on
forward-looking information. The Company does not intend, and
expressly disclaims any intention or obligation to, update or
revise any forward-looking information whether as a result of new
information, future events or otherwise, except as required by law.
For more information on Neo, investors should review Neo's
continuous disclosure filings that are available under Neo's
profile at www.sedarplus.ca.
SOURCE Neo Performance Materials, Inc.
