NEO Battery Materials Ltd. has closed its non-brokered private placement under the listed issuer financing exemption, raising aggregate gross proceeds of $4,000,000.

The financing involved the issuance of 20,000,000 units at a price of $0.20 per unit. Each unit comprises one common share and one non-transferable common share purchase warrant. Each warrant entitles the holder to acquire one additional common share at an exercise price of $0.30 for a 36-month period expiring on August 14, 2029.

The terms represent a downward revision from the company's initial proposal on August 4, 2026, which targeted gross proceeds of up to $6,000,000 through the issuance of 25,000,000 units at $0.24 per unit, with warrants exercisable at $0.36.

Net proceeds from the closed offering will be deployed to advance commercial battery manufacturing operations in South Korea. Specifically, funds will support the installation of additional cell assembly equipment at NEO Battery Materials' 3.2-acre battery expansion factory, alongside advancing the performance, qualification, and production of drone and robotics battery cells and packs. General working capital will absorb the remaining allocation.

In connection with the placement, NEO Battery Materials paid aggregate cash commissions of $25,680 and issued 128,400 non-transferable finder's warrants. These finder's warrants allow holders to acquire common shares at $0.20 for 36 months, subject to a four-month-and-one-day hold period ending December 15, 2026. Securities issued under the listed issuer financing exemption are free from resale restrictions under Canadian securities laws, though the transaction remains subject to final approval from the TSX Venture Exchange.

Read the full announcement: NEO Battery Closes Non-Brokered LIFE Offering of Units