Cyclic Materials nabs $27M from BMW i Ventures, EIP
Illustration: Maura Losch/Axios
Cyclic Materials, a Canada-based startup that recycles rare earth elements, raised $27 million in Series A funding.
Why it matters: Automakers like BMW are scouring the startup ecosystem for ways to insulate EV production from geopolitical conflicts and supply chain crunches.
Details: BMW i Ventures, the OEM's venture arm, co-led the round with Energy Impact Partners.
- New investors Fifth Wall and Bioindustrial Innovation Canada joined the round, along with existing investor Planetary Technologies.
- The new funds will finance Cyclic Material's commercial expansion and network of processing facilities.
How it works: Cyclic Materials takes end-of-life products and processes existing rare earth elements and metals — copper, aluminum, steel, cobalt and nickel, for example — for use in new products.
What they're saying: "REEs are critical for many applications from small electronics to large wind turbines but are very challenging to produce,” Kasper Sage, managing director of BMW i Ventures, said in a press release.
- “The Cyclic team has developed a novel process that can create a sustainable, secondary supply source. We are excited for the company's plan to scale this technology, helping secure the metals supply chain of the future."