USA Rare Earth has entered into a definitive agreement to acquire UK-based LCM (Less Common Metals), a rare earth metal and alloy producer, for $100 million in cash and 6.74 million shares of USAR common stock. The acquisition represents a significant acceleration of USAR’s mine-to-magnet strategy, establishing an end-to-end rare earth supply chain.
“The acquisition of LCM is a bold and transformative leap forward for our company and the domestic rare earth industry,” said Michael Blitzer, chairman of USAR.
“Midstream metal making is the linchpin of the global supply chain and LCM is the only proven ex-China producer of rare earth metal, alloys, and strip casting at scale. Over three decades, LCM has brought proven expertise and world-class capability and is the sole Western provider of critical defense materials such as Samarium Cobalt metal.”
Blitzer continued, “The combination of USAR-LCM will establish rare earth metal making in the United States for the first time in decades, as we move quickly to integrate these capabilities in Stillwater, Okla., to provide all of the feedstock for the buildout of our 5,000-ton magnet production facility. Our ambition is also to expand LCM’s capabilities in both the United Kingdom and Europe, supporting the broader ex-China industry with a wide range of defense and industrial applications.”
LCM closes the loop for USAR’s in-house processing of recycled rare earths. It has the ability to process recycled rare earth oxides, which will enable USAR to reuse end-of-life magnets and its own swarf generated during magnet production. This will allow for a more sustainable manufacturing process while also providing access to alternative low-cost sources of feedstock.
The transaction is expected to close in the fourth quarter of 2025.
Source: USA Rare Earth