Cyclic Materials’ rare earths recycling infrastructure receives $75 million in funding
The capital will fuel the ongoing rapid expansion of heavy rare earths needed for AI, robotics, defence, and manufacturing
Successful funding in renewables and resource recovery is essential to moving the circular economy forward. In a new round of funding, Cyclic Materials has closed an over-subscribed USD $75 million Series C equity round, its largest to date. The funding will scale up operations across the U.S. and Europe and accelerate Canada-based research and development.
Heavy rare earth elements power the world
The recycling of magnet-containing end-of-life (EOL) scrap and magnet production waste is the fastest way to the production of magnet rare earth elements (REEs) in Western countries, and it can provide unique access to heavy rare earth elements, which are much less commonly available through mining deposits in the Western world.
Positioned as both a diversified source of supply and a circular solution that interrupts waste streams, Cyclic Materials operates a two-stage physical and hydrometallurgical recycling technology to produce REEs from EOL products and magnet production waste and creates a secure and circular supply chain for REEs and other critical materials that underpin the rapid growth of AI, robotics, defense, EVs, and more.
Cyclic Materials accomplishes successful funding round
The funding round was led by accounts advised by T. Rowe Price Associates Inc., alongside continued support from existing shareholders and additional participation from the Canada Growth Fund (CGF).
With this raise, Cyclic Materials' total equity funding surpasses USD $162 million, marking a major inflection point as the company accelerates its commercial rollout and prepares for global expansion, with a substantial focus on addressing North American market needs. The new capital will fuel the ongoing rapid expansion of rare earths recycling infrastructure across the U.S., enabling a resilient and extremely secure locally sourced supply of critical materials increasingly required by AI data centres, robotics, defense, and next-generation industrial systems.
Additionally, funding will support the continued development of intellectual property at Cyclic Materials' newly built Center of Excellence in Kingston, Ontario, to further establish the company's leadership in the rare earths supply chain and to support its vertical integration with the magnet supply chain and growth of its team globally.
"This investment underscores the urgency of building a secure supply chain for rare earths that power the defense, AI and robotics revolution. The recycling of EOL products for magnet REEs recovery is the fastest way to create a resilient supply of these critical metals in Western countries, and likely the only viable source of heavy rare earths outside China. It is a powerful vote of confidence our partners have in our ability to deliver on it," said Ahmad Ghahreman, CEO and founder of Cyclic Materials. "With this new capital, we can rapidly deploy rare earths recycling infrastructure where it's needed most, delivering local, secure supply at a pace traditional mining simply cannot match. Cyclic Materials is now ideally positioned to help restore North American global leadership in rare earth resources powering advanced manufacturing."
"As demand for rare earth elements accelerates across advanced manufacturing, electrification, AI and robotics, Cyclic Materials is addressing a critical supply challenge with a scalable and commercially grounded solution. Their ability to recover high-value materials from complex end-of-life products represents a compelling approach to strengthening domestic and allied supply chains. We are excited to support the team as they enter their next phase of growth." said Vineet Khanna, investment analyst at T. Rowe Price.
"This transaction positions Cyclic Materials to accelerate its research and development and fast-track the commercialization of its breakthrough technology here in Canada," said Yannick Beaudoin, president and CEO of Canada Growth Fund Investment Management (CGFIM). "By funding Cyclic Materials at this pivotal stage of growth, CGF is pleased to support Canada as it works to boost strategically important critical minerals processing capabilities in a key sector for the country's economic future."
