The alpha form of nickel (II) hydroxide is formed by dissolving a compound of nickel (II), such as nickel acetate, in a water miscible dihydric alcohol (diol), such as ethylene glycol, propylene glycol and suitable oligomers, and adding a suitable base such as sodium carbonate. The .alpha.-Ni(OH).sub.2 precipitate is separated from the diol-based mother liquor and dried. This stable .alpha.-Ni(OH).sub.2 can be calcined at temperatures in the range of about 573K to about 1073K to form nanometer-size particles of NiO having, for example, fibrous shapes. And the small particles of NiO can be reduced with hydrogen to form small, fibrous nickel particles. Both the NiO particles and Ni particles have utility as catalysts and offer utility in applications requiring electronic and/or magnetic properties.