Perth-based Hastings Technology Metals has agreed to acquire a 22.1 per cent stake in Toronto-based Neo Performance Materials for ​​$15 per share, or a total of $135 million. The deal is backed by Australian mining giant Wyloo Metals. (The Logic)

Talking point: Rare earths are used in electric vehicles, wind turbines, medical devices and aircraft, but are currently rarely produced outside China. This deal would unite two alternatives to the Chinese supply chain amid longstanding trade tensions. Australia and Canada have marketed themselves as more sustainable suppliers of critical minerals—key for rare earths, which require stringent environmental regulation due to toxic mining conditions. Hastings makes rare-earth concentrates, while Neo does downstream processing, with operations in and outside of China. It’s Wyloo’s second high-profile battery-metals deal in Canada in as many years, after its acquisition of Noront Resources.