Ontario-based Cyclic Materials, a pioneering company focused on creating a circular supply chain for rare earth elements (REEs), has secured a $2 million investment from InMotion Ventures, the investment arm of Jaguar Land Rover. This funding boosts Cyclic Materials’ Series B round to an impressive $55 million, positioning the company for significant growth as it expands its operations across North America and Europe.

Rare earth elements, crucial components in the production of permanent magnets, are used extensively in products like electric vehicles, data centers, wind turbines, cell phones, and military equipment. Despite their importance, less than 1% of these materials are currently recycled, and the global demand for REEs already exceeds supply. As industries transition toward green technologies and electrification, the demand for these critical materials is expected to triple by 2030.

Cyclic Materials aims to address this growing challenge by leveraging its proprietary technologies, MagCycle and REEPure, to recycle REEs from a wide range of end-of-life products. These technologies enable the company to recover rare earth elements from used electronics, motors, and other equipment, contributing to a more sustainable and circular supply chain for REEs.

“Our partnership with InMotion Ventures underscores the surging demand for sustainable solutions within the automotive and technology industries,” said Ahmad Ghahreman, CEO of Cyclic Materials. “We are excited to collaborate with one of the UK’s most active corporate funds as we expand our rare earth recycling infrastructure across North America and Europe, ultimately driving our mission to address the critical shortage of these vital materials.”

The investment from InMotion Ventures is particularly significant, as it aligns with the automotive industry’s increasing focus on sustainability and resource efficiency. Jaguar Land Rover, a global leader in the automotive sector, is actively exploring innovative solutions for sourcing sustainable materials for electric vehicle production, including rare earth elements. Cyclic Materials’ breakthrough recycling technologies offer an ideal solution to mitigate supply chain risks and reduce reliance on mining operations, which have significant environmental impacts.

This latest investment builds on Cyclic Materials’ earlier Series B round, which raised $53 million from a consortium of prominent investors, including Microsoft, Hitachi, BMWi, and specialized funds such as ArcTern and Fifth Wall. The company plans to use this funding to scale its operations, enhance processing capabilities, and further refine its recycling technologies.

As the global demand for rare earth elements continues to surge, Cyclic Materials is well-positioned to play a crucial role in ensuring a sustainable supply of these critical materials, ultimately supporting the transition to a greener, more electrified economy.