Mr. Jim Fitzpatrick reports

NEO PERFORMANCE MATERIALS ANNOUNCES C$100 MILLION BOUGHT DEAL TREASURY OFFERING OF COMMON SHARES

Neo Performance Materials Inc. 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 3.48 million common shares, at a price of $28.75 per common share, for gross proceeds of approximately $100-million. 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 per cent of the offering to cover overallotments, 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.

About Neo Performance Materials Inc.

Neo manufactures the building blocks of many modern technologies that enhance efficiency and sustainability. Neo's advanced industrial materials -- magnetic powders, rare earth magnets, magnetic assemblies, specialty chemicals, metals and alloys -- are critical to the performance of many everyday products and emerging technologies. Neo's products fast-forward technologies for the net-zero transition. The business of Neo is organized along three segments: Magnequench, chemicals, and oxides and rare metals. Neo is headquartered in Toronto, Ont., Canada; with corporate offices in Greenwood Village, Colo., United States; Singapore; and Beijing, China. Neo has a global platform that includes manufacturing facilities located in Canada, Estonia, China, Germany, Thailand and the United Kingdom, as well as a dedicated research and development centre in Singapore.

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