Cyclic Materials, a cleantech firm specializing in rare earth element recovery, has successfully closed an over-subscribed $75 million Series C funding round. The investment, led by accounts advised by T. Rowe Price, will accelerate the company's mission to build a secure and circular supply chain for critical minerals. This capital injection marks a significant milestone, bringing the company's total equity raised to over $162 million and positioning it for major expansion.
Addressing a Critical Supply Chain Gap
Modern industries, from artificial intelligence to defense, heavily depend on rare earth elements, yet their supply is concentrated in a few nations. This reliance creates significant vulnerabilities, particularly for heavy rare earths which are scarce in Western mining deposits. Cyclic Materials directly addresses this challenge by creating a domestic source from end-of-life products and industrial waste streams.
Strategic Deployment of Capital
The new capital will fuel a rapid expansion of the company's recycling infrastructure across the United States and Europe. This strategic deployment is designed to meet the escalating demand for critical materials required by AI data centers, robotics, and next-generation industrial systems. By establishing local processing facilities, the company aims to provide a resilient and secure supply for North American manufacturers.
A portion of the funding is dedicated to advancing research and development at the company's new Center of Excellence in Kingston, Ontario. This investment will support the continued refinement of its proprietary hydrometallurgical recycling technology and the growth of its intellectual property. These efforts are crucial for maintaining a competitive edge and supporting vertical integration within the magnet supply chain.
A Sustainable and Efficient Alternative
The company's recycling process offers substantial environmental advantages over conventional mining, including a 61.2% reduction in carbon footprint and a 95% decrease in water consumption. Furthermore, its technology boasts recovery rates exceeding 98% for critical materials from complex waste streams. This sustainable approach can be implemented years faster than traditional mining projects, offering a scalable and lower-risk pathway to resource security.
Building Momentum Through Strategic Partnerships
This funding follows a period of significant growth, including the launch of a "Spoke" facility in Arizona and a "Hub" in Ontario. The company has also forged key alliances, such as a 10-year recycling agreement with magnet manufacturer VACUUMSCHMELZE. These partnerships, along with feedstock agreements with companies like Lime Micromobility, are foundational to building a robust circular economy for rare earths.
This $75 million investment solidifies Cyclic Materials' role as a pivotal force in reshoring the critical minerals supply chain. By scaling its proven, sustainable technology, the company is poised to reduce Western reliance on foreign sources for essential rare earth elements. The expansion will directly support the rapid growth of strategic sectors like AI, defense, and e-mobility, underpinning a new era of technological sovereignty.