TORONTO, Feb. 28, 2025 – Neo Performance Materials Inc. (“Neo” or the “Company”) (TSX: NEO) has announced that the Regional Court of Mannheim, Germany, has delivered its verdict (the “Judgment“) concerning the damages proceedings linked to the European Patent #1435338 B1 (“EP’338“) case. As previously reported, in July 2022, Rhodia Opérations SAS (“Rhodia“, now Solvay) initiated legal action in the Regional Court of Mannheim against Neo Chemicals & Oxides (Europe) Ltd. (“Neo C&O Europe“), a fully owned subsidiary of the Company, along with two of its employees, seeking compensation for damages resulting from the infringement of EP’338 in Germany. The oral arguments for the proceedings occurred in November 2024. The Judgment stipulates that Neo C&O Europe is accountable for damages amounting to roughly €10.3 million, in addition to procedural interest of about €1.3 million (as of the present date). The awarded damages are notably less than the initial amount sought by Rhodia. Both parties have the option to appeal the Judgment within a one-month timeframe, meaning it is not yet final. The damage award is less than the amount previously recorded by the Company in its financial records. Consequently, Neo anticipates that the Judgment’s magnitude will not impact earnings in Q1 2025. EP’338 has since expired and does not affect the Company’s current products or earnings. Further details on the case can be found under “Legal Proceedings and Regulatory Actions” in the Company’s annual information form dated March 14, 2024 for the year concluded December 31, 2023, and under “Legal Contingencies” in the Company’s MD&A for the period ending September 30, 2024.

This press release might have “forward-looking information” as defined by Canadian securities laws. Usually, these statements are marked by words like “plans,” “expects,” “is expected,” “budget,” “scheduled,” “estimates,” “forecasts,” “intends,” “anticipates,” or “believes,” including their negative forms or variations. They might also suggest that specific actions, events, or outcomes “may,” “could,” “would,” “might,” or “will” occur or be achieved, or their negative forms. The forward-looking statements here include the total interest calculation, the impact of the damage award on the Company’s financials, and related issues. The Company made these statements based on current beliefs, assumptions, and available information. While the Company thinks these assumptions are reasonable, they could be wrong. These statements involve risks, uncertainties, and other factors that could cause actual results to differ significantly from those stated or implied. These risks include factors related to the intellectual property litigation and its financial impact on the Company. Various factors could cause actual results to differ from the Company’s expectations, including those in its securities filings. Readers should not rely excessively on these forward-looking statements. The Company does not plan to update or revise these statements, whether due to new information, future events, or other reasons, unless required by law. For more on Neo, investors should consult Neo’s continuous disclosure filings under Neo’s profile.

Neo produces essential components for many modern technologies that boost efficiency and sustainability. Its advanced industrial materials, including magnetic powders, rare earth magnets, magnetic assemblies, specialty chemicals, metals, and alloys, are vital for the performance of numerous everyday products and new technologies. Neo’s products accelerate technologies aimed at achieving net-zero emissions. The company operates through three segments: Magnequench, Chemicals & Oxides, and Rare Metals. Neo’s headquarters are in Toronto, Ontario, Canada, with corporate offices in Greenwood Village, Colorado, United States; Singapore; and Beijing, China. Neo has a global presence with manufacturing sites in China, Germany, Canada, Estonia, Thailand, and the United Kingdom, along with a dedicated R&D center in Singapore. For additional details, please visit

SOURCE Neo Performance Materials, Inc.

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