Rare Earth Recycler Cyclic Materials Raises $75 Million to Scale Low Carbon Magnet Supply for AI and EVs

TORONTO : Cyclic Materials announced the closure of an over-subscribed USD $75 million Series C equity round on January 23, 2026. This latest investment brings the company’s total equity funding to over $162 million, marking its largest financial milestone to date. T. Rowe Price Associates Inc. led the round with significant participation from the Canada Growth Fund. The capital is designated to scale recycling operations across North America and Europe while expanding research efforts in Ontario. The company specializes in recovering magnet rare earth elements from end-of-life products like wind turbines and EV motors. This process is essential for industries like AI and defense, which require heavy rare earths that are difficult to source outside of China. By recycling instead of mining, Cyclic Materials offers a local and resilient supply chain for the high-performance magnets used in AI servers and autonomous robotics.

Operations utilize a proprietary two-stage process called MagCycle and REEPure to isolate and refine minerals. These technologies deliver significant environmental benefits, including a 61.2 percent reduction in carbon footprint compared to traditional mining. The company reports that its recycling methods use only 5 percent of the water required by mines while achieving recovery rates exceeding 98 percent.

Strategic expansion is already underway with the first commercial facility in Mesa, Arizona, and a Center of Excellence in Kingston, Ontario. Cyclic Materials recently secured a 10-year exclusive agreement with VACUUMSCHMELZE to recycle magnet production by-products in the United States. This partnership reinforces the circular supply chain by ensuring domestic access to critical materials for advanced manufacturing. With this new injection of capital, the firm plans to further integrate vertically into the magnet supply chain. The goal is to restore Western leadership in rare earth resources by deploying infrastructure years faster than traditional mining projects. As global demand for AI hardware surges, the ability to source critical metals from existing waste streams becomes a competitive advantage for North American industry.