Cyclic Materials Secures $75 Million to Expand U.S. Rare Earth Recycling Capacity

en.Wedoany.com Reported - On August 27, Cyclic Materials completed a $75 million strategic growth financing round, led by accounts managed by T. Rowe Price Associates, with electronics recycler ERI participating as a new strategic investor. Following the closing, Cyclic Materials' cumulative equity financing has reached $237 million. The new funds will be used to advance a rare earth recycling campus in South Carolina and expand its "Hub-and-Spoke" rare earth and critical minerals recycling network across the United States.

The primary new capacity associated with this funding round is located in McBee, South Carolina. Cyclic Materials plans to begin construction of an integrated rare earth recycling campus there in the fourth quarter of 2026, consolidating magnet separation, rare earth recycling, and refining operations at a single site. The South Carolina Department of Commerce previously confirmed that the company will invest over $82 million to build the facility at Alligator Industrial Park in Chesterfield County, with operations slated to begin in 2028 and the creation of 90 technical jobs.

The McBee campus will be equipped with Cyclic Materials' MagCycle magnet separation and REEPure hydrometallurgical processes. The initial phase will process 2,000 tonnes of magnetic material per year, with plans to increase capacity to 6,000 tonnes; initial annual production capacity for mixed rare earth oxide is 600 tonnes, with plans to reach 1,800 tonnes after expansion. The facility will also produce recycled materials such as copper, steel, and aluminum.

Some long-term supply arrangements for feedstock are already in place. At the end of 2025, Cyclic Materials signed a 10-year exclusive agreement with VACUUMSCHMELZE to recycle all magnet production by-products from its magnet plant in Sumter, South Carolina. That magnet plant began operations at the end of 2025 and is located in the same state as the McBee campus.

The financing will also be used to expand Cyclic Materials' recycling nodes elsewhere in the United States. The company's first U.S. commercial Spoke facility, located in Mesa, Arizona, is in the final stages of commissioning, with the latest plan targeting operations to begin in the third quarter of 2026. The facility, representing an investment of over $20 million, uses the MagCycle process to mechanically separate permanent magnets from end-of-life products, with a designed processing capacity of up to 25,000 tonnes of end-of-life components per year.

In July, Cyclic Materials signed a strategic cooperation agreement with ERI, under which ERI will leverage its electronics collection and processing network across the United States to screen and pre-process end-of-life products containing rare earth magnets and other critical minerals, with the majority of feedstock planned to be sent to the Arizona facility for processing. Through this $75 million financing round, ERI has further joined Cyclic Materials' shareholder base as a strategic investor.

Cyclic Materials had already completed another $75 million Series C equity financing round in January 2026. Following the closing of the latest round, the company's cumulative equity financing has reached $237 million. Existing investors also include Energy Impact Partners, Microsoft, Amazon, BMW i Ventures, Jaguar Land Rover, and Hitachi Ventures, among others.