Luxfer Holdings PLC (NYSE: LXFR) and Neo Performance Materials Inc (TSX: NEO) have agreed to cancel the former’s proposed acquisition of Neo, a Toronto-based maker of rare-earth and rare-metal-based functional materials used in advanced technologies.
The deal, announced in December, would have seen U.K.-based Luxfer pay about $820 million (US$612 million) in cash and stock.
U.S. distressed investor Oaktree Capital Management, Neo’s largest shareholder, agreed to support the transaction.
Neo emerged in 2016 from the bankruptcy of Molycorp Inc. Oaktree took the company public last year, raising $220 million.
PRESS RELEASE
Luxfer Holdings and Neo Performance Materials Mutually Agree to Terminate Acquisition Agreement
MANCHESTER, England and TORONTO, March 10, 2019 /CNW/ – Luxfer Holdings PLC (NYSE: LXFR) (“Luxfer”) and Neo Performance Materials Inc. (TSX: NEO) (“Neo Performance Materials” or “Neo”) today announced that the companies have mutually agreed to terminate the previously announced transaction (the “Neo Acquisition”) under which Luxfer would have acquired Neo for US$612 million* in cash and stock.
About Luxfer Holdings PLC
Luxfer is a global manufacturer of highly-engineered advanced materials, which focuses on value creation by using its broad array of technical knowhow and proprietary technologies. Luxfer’s high-performance materials, components, and high-pressure gas containment devices are used in defense and emergency response, healthcare, transportation, and general industrial settings. For more information, visit www.luxfer.com. Luxfer is listed on the New York Stock Exchange and its ordinary shares trade under the symbol LXFR.
About Neo Performance Materials
Neo Performance Materials is a global leader in the innovation and manufacturing of rare earth and rare metal-based functional materials, which are essential inputs to high technology, high growth, future-facing industries. The business of Neo Performance Materials is organized along three segments: Magnequench, Chemicals & Oxides and Rare Metals. Neo Performance Materials is headquartered in Toronto, Canada with corporate offices in Greenwood Village, Colorado, and Beijing, China. Neo Performance Materials operates globally with sales and production across 10 countries, being Japan, China, Thailand, Estonia, Singapore, Germany, United Kingdom, Canada, United States and South Korea. For more information, please visit www.neomaterials.com. Neo Performance Materials is listed on the Toronto Stock Exchange and its common shares trade under the symbol NEO.
*Note: Transaction value based on share price at close of business on December 14, 2018.
For further information: Luxfer Investor Contact: Douglas A. Fox, CFA, Director, Investor Relations; Cassandra Stanford, Communications Specialist, +1 951-341-2375, Investor.relations@luxfer.com; Neo Investor Contact: Ali Mahdavi, Investor Relations, (416) 962-3300, Email: ir@neomaterials.com