Neo Material Technologies Provides Update on Trading Activity

    TORONTO, June 26 /CNW/ - Neo Material Technologies Inc. ("Neo" or the
"Company") (TSX: NEM), at the request of the Investment Industry Regulatory
Organization of Canada (IIROC), on behalf of the Toronto Stock Exchange, is
issuing this press release to address the recent increased trading activity in
Neo's common shares. The Company is unaware of any specific reason for the
recent increase in trading activity. However, the Company can advise that this
increase may be due in part to a number of recent favourable analyst reports
that have been published and which have noted that the prospects for the end
markets for the Company's products seem to be recovering from the economic
downturn. As previously disclosed, the Company has been reviewing a number of
opportunities and initiatives focused on increasing shareholder value and,
consistent with this, the Company has entered into a non-binding letter of
intent with respect to a potential transaction. The completion of this
transaction, if agreed to, would be subject to a number of significant
conditions, none of which have been satisfied to date. Readers are cautioned
that there is no assurance that these conditions will be satisfied or that any
transaction will be agreed to, or if agreed to, will ultimately be completed.

    About Neo Material Technologies

    Neo Material Technologies is a producer, processor and developer of
neodymium-iron-boron magnetic powders ("Neo Powders"), rare earths and
zirconium based engineered materials and applications through its Magnequench
and AMR Performance Materials business divisions. These innovative products
are essential in many of today's high technology products. Magnequench's Neo
Powders are used in the production of bonded magnets for micro motors,
precision motors, sensors and other applications requiring high levels of
magnetic strength, flexibility, small size and reduced weight. Rare earth and
zirconium applications include catalytic converters, computers, television
display panels, optical lenses, mobile phones and electronic chips. The
Company is headquartered in Toronto, Canada and has approximately 1,300
employees in 15 locations, across 10 countries.

    Forward-Looking Statements

    From time to time, the Company may publish forward-looking statements
relating to such matters as expected financial performance, business
prospects, technological developments, and development activities and like
matters. These statements involve risk and uncertainties, including but not
limited to the risk factors previously described. Actual results could differ
materially from those projected as a result of these risks and should not be
relied upon as a prediction of future events. Neo Material Technologies Inc.
undertakes no obligation to update any forward-looking statement to reflect
events or circumstances after the date on which such statement is made, or to
reflect the occurrence of unanticipated events.

    %SEDAR: 00002061E

For further information:

For further information: Ali Mahdavi, Investor Relations, (416)
962-3300, ext. 225, e-mail:, Website:

Organization Profile

Neo Material Technologies Inc.

More on this organization

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890