TORONTO, Jan. 21, 2026 /CNW/ - NEO Battery Materials Ltd. ("NEO" or the "Company") (TSXV:NBM) (OTC:NBMFF), a low-cost, silicon-enhanced battery developer that enables longer-running, rapid-charging batteries for drones, robotics, and electronics, is pleased to close its non-brokered private placement (the "Offering") of 11,666,667 units (each, a "Unit") at a price of $0.60 CAD per Unit for aggregate gross proceeds of up to approximately $7 million CAD. "This financing further strengthens our balance sheet and provides the capital required to continue executing on our recently announced OEM engagements. The proceeds will allow us to accelerate the Company's Defense Battery Development Program for military drone and unmanned system integration, expand cell assembly capabilities at the expansion site, and support the scale-up of production activities already underway," expressed Mr. Spencer Huh, President & CEO of NEO. "Importantly, this funding supports our transition form development and qualification into execution and delivery, as we advance multiple commercial programs for various electronics and deepen our manufacturing footprint. We believe this positions NEO well to meet near-term customer requirements while continuing to build the operational foundation for long-term growth."Each Unit consists of one common share of the Company (each, a "Common Share") and one non-transferable Common Share purchase warrant (each, a "Warrant"). Each whole Warrant will be exercisable to acquire one Common Share of the Company at an exercise price of $0.85 CAD for a period of 36 months from the closing date of the Offering or until January 21, 2029. The Offering is subject to certain closing conditions, including, but not limited to, the receipt of all necessary approvals, including the conditional acceptance by the TSX Venture Exchange ("TSXV").The net proceeds of the Offering are intended to be used towards (i) installing additional battery manufacturing equipment, including formation and cylindrical/prismatic cell assembly, at the operational Gimje battery factory and the expansion site and (ii) general working capital purposes. In connection with the Offering, the Company paid an aggregate cash commission of $420,000 and 700,000 non-transferable stock options of the Company exercisable at an exercise price of $0.60 for a period of 36 months from the closing date of the Offering.The Units under the Offering are being offered to purchasers outside of Canada pursuant to an exemption from the prospectus requirement available under Section 2.3 of Ontario Securities Commission Rule 72-503 – ...Full story available on Benzinga.com
NEO Battery Closes Non-Brokered Private Placement Offering of $7 Million
