The round was led by ArcTern Ventures, with new backing from BDC Capital’s Climate Tech Fund, Hitachi Ventures, Zero Infinity Partners, Climate Investment, and Microsoft’s Climate Innovation Fund. Existing investors, including Fifth Wall, BMW i Ventures, Energy Impact Partners, and Planetary Technologies, also contributed.

This latest investment brings Cyclic Materials’ total funding to over $83 million and will accelerate its international expansion. The company plans to use the funds to establish rare earth recycling facilities in the US and Europe and expand its workforce to scale its global operations.

“We're energised to partner with the world’s top sustainability-focused infrastructure and corporate investors to scale our technology’s impact,” said Ahmad Ghahreman, CEO and Co-Founder of Cyclic Materials. “This funding underscores the confidence in our ability to create the circular economy for rare earths needed for the clean energy transition. Not only is our technology essential for supporting sustainable domestic production of rare earths, but it will also play a critical role in re-establishing North American and European leadership in the rare earths industry.”

Importantly, Cyclic Materials’ process of recycling these rare earth materials from magnets achieves significant environmental benefits in comparison to traditional mining processes, including a reduced carbon footprint and unparallelled water efficiency.

“We seek to partner with visionary founders and technology companies that share our commitment to tackling sustainability challenges with innovative solutions,” said Marc Faucher, Managing Partner at ArcTern Ventures. “Cyclic Materials' mission-driven approach to the circular economy combined with its proprietary rare earth metals recycling processes offers a scalable decarbonization solution that contributes to the abatement of greenhouse gas emissions. This alignment with our impact-driven investment strategy is why we chose them to become a part of ArcTern’s investment portfolio.” 

The Series B funding follows a $3.6 million grant award from Natural Resources Canada that supports the continued operation of Cyclic Materials’ commercial demonstration facility (Hub100) for producing high-purity REEs from recycled magnet material and preparing for scaling to larger operations. These recent public and private investments demonstrate the surging interest in funding companies with technology proven to address climate change and sustainable development. 

“The opportunity to invest in companies like Cyclic Materials at this stage of development and scaling is scarce,” said Tobias Jahn, Partner at Hitachi Ventures. “We are impressed with their high growth potential, strong leadership, proprietary extraction processes from electronic and industrial waste, and commitment to overcoming the limited availability of rare earth elements essential for various technologies in today’s electrification era.”

Established in 2021, Cyclic Materials’ proprietary technologies are capable of economically and sustainably recovering critical raw materials from end-of-life electric vehicle motors, wind turbines, MRI machines, and data centre electronic waste. Over the past year, the company forged strategic partnerships with key industry leaders such as Solvay, Vattenfall, Synetiq, and VACUUMSCHMELZE to recycle magnets containing REEs and establish a circular supply chain.