Cyclic Materials secured $2 million from InMotion Ventures as part of a $55 million Series B funding round to develop recycling solutions for Rare Earth Elements, enhancing sustainability in the automotive industry.

Target Company Overview

Cyclic Materials, based in Toronto, is an innovative advanced recycling firm dedicated to establishing a circular supply chain for Rare Earth Elements (REEs) and other critical materials essential for the clean energy transition. Founded in 2021, the company has developed proprietary technologies, namely MagCycle℠ and REEPure℠, that facilitate the recovery of valuable raw materials from end-of-life products such as electric vehicles, wind turbines, and electronic devices. With increasing global demand for REEs and forecasts indicating a significant rise by 2030, Cyclic Materials is positioned to play a crucial role in addressing this urgent need.

Industry Overview

The Rare Earth Elements industry is critical to numerous high-tech applications, including electric vehicles, wind turbines, and data storage solutions. However, despite their importance, less than 1% of REEs are currently recycled, leading to a supply-demand gap that is expected to triple in the coming decade. The sustainable management of these materials is imperative not only for environmental reasons but also for the resilience of global supply chains.

In North America and Europe, the push towards electric mobility and renewable energy generation has amplified the demand for REEs. Governments are increasingly recognizing the strategic importance of these materials and are