Mr. Ali Mahdavi reports

NEO PERFORMANCE MATERIALS INC. ANNOUNCES NORMAL COURSE ISSUER BID AND AUTOMATIC PURCHASE PLAN FOR ITS COMMON SHARES

The Toronto Stock Exchange has accepted a notice filed by Neo Performance Materials Inc. of its intention to make a normal course issuer bid for up to 3,585,011 of its issued and outstanding common shares. In connection with the bid, the company has entered into an automatic share purchase plan with its designated broker to allow for purchases of its shares.

Purchases of shares under the bid may commence on June 19, 2023, and will terminate on June 18, 2024, or on such earlier date as the bid is complete. Purchases of shares will be made through the facilities of the TSX or alternative Canadian trading systems in accordance with its rules or through the share purchase plan. Under the share purchase plan, purchases may be made in the open market through the facilities of the TSX or alternative Canadian trading systems. Purchases under the share purchase plan will be determined by Neo's broker in its sole discretion, without consultation with the company, subject to the limitations of the share purchase plan and the rules of the TSX. The share purchase plan is considered an automatic plan for purposes of applicable Canadian securities laws and has been reviewed by the TSX. The share purchase plan was established to provide standard instructions regarding how the shares are to be purchased under the bid. Accordingly, Neo may purchase its shares in accordance with the share purchase plan on any trading day during the bid, including during self-imposed trading blackout periods. The company may otherwise vary, suspend or terminate the share purchase plan only if it does not have material non-public information, the decision to vary, suspend or terminate the share purchase plan is not taken during a self-imposed trading blackout period and any variation, suspension or termination is made in accordance with the terms of the share purchase plan.

The average daily trading volume of the shares for the previous six calendar months (ADTV) ending May 31, 2023, was 101,163 shares. On any trading day, purchases under the bid will not exceed 25,290 shares. The price that the company will pay for any shares purchased under the bid will be the prevailing market price at the time of purchase. Any shares purchased by the company will be cancelled.

As of June 5, 2023, there were 45,196,921 shares issued and outstanding. The 3,585,011 shares that may be repurchased under the bid represent approximately 10 per cent of the public float of shares (as determined in accordance with the policies of the TSX) on May 31, 2023.

Neo believes that its shares have been trading in a price range which does not adequately reflect the value of such shares in relation to the business of Neo and its future business prospects. As a result, depending upon future price movements and other factors, Neo believes that its outstanding shares may represent an attractive investment to Neo. Furthermore, the purchases are expected to benefit all persons who continue to hold shares by increasing their equity interest in Neo.

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 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. 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.; Singapore; and Beijing, China. Neo operates globally with sales and production across 10 countries, being Japan, China, Thailand, Estonia, Singapore, Germany, United Kingdom, Canada, United States and South Korea.

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