Cyclic Materials, a company building circular supply chains for rare earths, has closed a USD $75 million strategic financing round. This new capital brings its total equity funding to USD $237 million and will accelerate the development of its domestic recycling infrastructure. The round was led by existing investors, signaling strong confidence in its mission to enhance U.S. production of critical minerals.
Strategic Investment to Fuel Expansion
The financing was spearheaded by accounts advised by T. Rowe Price Associates, Inc., which increased its commitment following an initial 2025 investment. This move reflects significant commercial momentum, including the commissioning of its first Arizona facility and expansion of key partnerships. Recently announced partner ERI also joined the round as a new strategic investor, solidifying the company's value chain.
Vineet Khanna, an Investment Analyst at T. Rowe Price, highlighted the firm's confidence in the company's leadership. He noted that Cyclic Materials has consistently demonstrated its position as a market leader in rare earth recovery by advancing its commercial operations. The investment reflects a belief in the company’s ability to scale its domestic recycling infrastructure for critical U.S. industries.
Accelerating U.S. Rare Earth Infrastructure
The new capital is earmarked to fast-track the expansion of Cyclic Materials’ U.S. Hub-and-Spoke infrastructure. A key project is the integrated rare earth recycling campus in South Carolina, with groundbreaking planned for Q4 2026. This facility will substantially increase the nation's capacity for producing rare earths and minerals essential for advanced manufacturing.
The South Carolina campus will integrate the company’s proprietary magnet separation, recovery, and refining technologies at a commercial scale. This new hub complements the company's Arizona magnet separation plant, scheduled to begin operations in Q3 2026. Together, these facilities form an integrated ecosystem from feedstock sourcing to final rare earth production for American industries.
Bolstering National Supply Chain Security
This financing arrives as the United States has designated critical material recovery a national defense and supply security priority. A recent Presidential Determination identified end-of-life rare earth magnets and manufacturing scrap as vital recoverable resources. Cyclic Materials' expansion directly addresses this strategic imperative to build a more resilient domestic supply chain for these elements.
Ahmad Ghahreman, Founder and CEO of Cyclic Materials, emphasized that continued investor support is crucial for building this vital infrastructure. He noted the additional capital will enable the company to accelerate its plans in South Carolina and across the country. The ultimate goal is to expand the Hub-and-Spoke network to produce more rare earths domestically for American manufacturing.
ERI Partnership Strengthens Feedstock Supply
The inclusion of ERI as a strategic investor builds upon a partnership announced between the two companies in July. This collaboration is designed to create a more robust and integrated value chain for rare earth recycling in the United States. ERI's investment deepens the relationship and aligns both companies toward establishing a circular economy for critical materials.
Through this partnership, ERI will utilize its nationwide electronics collection network to secure a steady stream of feedstock. The company will identify, secure, and pre-process products containing rare earth magnets for recovery by Cyclic Materials. This establishes a powerful domestic pipeline, ensuring a consistent flow of materials for recycling and refining into high-value products.
This USD $75 million investment marks a significant milestone for Cyclic Materials and the effort to secure a domestic rare earth supply chain. The funding will accelerate the construction of key facilities and strengthen its integrated Hub-and-Spoke model. With backing from investors like T. Rowe Price, Microsoft, and Amazon, Cyclic Materials is positioned to lead in creating a sustainable, circular economy for critical minerals.