Nov. 12 at 3:32 PM
USA Rare Earth received U.K. approval to acquire Less Common Metals.
The deal, valued at
$100 million plus 6.74 million shares, is part of the company’s strategy to convert mined materials into finished products. USA Rare Earth is developing a rare earth mine in Texas, and this acquisition strengthens its ability to process specialized metals and alloys.
Shares rose 2.6% to
$18.23 in premarket trading, after an initial jump of nearly 10% when the deal was announced. The stock has gained 55% year-to-date, driven by a renewed focus on building a Western rare earth supply chain, despite recent volatility from U.S.–China trade negotiations.
China currently dominates rare earth production, accounting for roughly 85% of global processing capacity, a market the U.S. aims to develop independently.
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