Core Insights - NEO Battery Materials Ltd. has increased its non-brokered private placement offering from $4 million to approximately $5.5 million due to strong demand from institutional and strategic investors [1][3] - The offering will consist of the sale of up to 10,784,313 units at a price of $0.51 per unit [1] - The company has appointed two strategic defense advisors, Admiral Seung-Sub Shim and Major General Geun-Young Choi, to provide guidance on military and defense procurement [2][6] Private Placement Offering - The upsized offering is expected to close around September 25, 2025, and has received conditional acceptance from the TSX Venture Exchange [4] - All other terms of the offering remain consistent with previous disclosures [3] Strategic Appointments - Admiral Seung-Sub Shim and Major General Geun-Young Choi will leverage their military experience to guide NEO's battery development for defense applications [6][9] - Their expertise will help ensure that NEO's battery solutions meet military standards for performance and safety [6][8] Company Overview - NEO Battery Materials focuses on developing silicon-enhanced lithium-ion batteries for various applications, including drones, robotics, and electric vehicles [10] - The company aims to establish a robust battery supply chain in North America and is committed to producing high-performance battery components [10]

Core Viewpoint - NEO Battery Materials Ltd. has entered into a Letter of Intent with a South Korean battery company to lease a revenue-generating battery components manufacturing facility, aiming to produce customized, high-performance batteries for various sectors including drones, robotics, and energy storage [1][2]. Facility Lease Arrangement - The lease arrangement will provide NEO immediate access to established battery component production capabilities, with the facility having been operational and revenue-generating for the past two years [2]. - The facility primarily produces battery electrodes for major automotive OEMs and global battery cell manufacturers, which are essential for energy storage and release [2]. Production Goals - NEO plans to produce electrodes for existing automotive and battery cell manufacturers while adapting production for customized battery solutions for drones, UAVs, robotics, and electronics [3]. - The company will incorporate its proprietary silicon battery materials, NBMSiDE, into the electrode production lines to accelerate the commercialization of high-performance batteries [3]. Private Placement Offering - NEO is undertaking a non-brokered private placement of up to approximately 7,843,138 units at a price of $0.51 CAD per unit, aiming for aggregate gross proceeds of up to approximately $4 million CAD [5]. - Each unit consists of one common share and one non-transferable common share purchase warrant, with the warrant exercisable at $0.80 CAD for 36 months [6]. Use of Proceeds - The net proceeds from the offering are expected to be allocated towards securing battery components and cell equipment, purchasing scale-up equipment for silicon battery material development, and general corporate overhead [7]. Regulatory Compliance - The offering is being made to purchasers outside of Canada under an exemption from the prospectus requirement, and the securities issued will not be subject to resale restrictions [8].