Neo Completes Sale of Majority Equity Interest of China Rare Earth Separation Assets

TORONTO, April 1, 2025 /CNW/ - Neo Performance Materials Inc. ("Neo" or the "Company") (TSX:NEO.TO) announced today that it has completed the sale to an affiliate of Shenghe Resources Holding Co., Ltd. ("Shenghe") of (i) 86% of the equity interest in Jiangyin Jiahua Advanced Material Resources Co., Ltd. ("JAMR") for USD $24.6 million cash; and (ii) 88% of the equity in Zibo Jiahua Advanced Material Resources Co., Ltd. ("ZAMR") USD $3.4 million cash, amended from the original agreement to sell 98% of the equity interests of ZAMR (collectively, the "Transactions"). JAMR sales proceeds represent a 10.6x multiple on average trailing five-year EBITDA for the facility. The ZAMR facility was valued using an asset-based approach, as the facility was closed in the second quarter of 2024.