Energy Fuels agreed to acquire Vacuumschmelze from Ara Partners for approximately $1.9 billion in cash and stock.
Energy Fuels said the acquisition combines its upstream rare earth element (REE) mining and separation assets with VAC’s downstream magnet manufacturing capabilities, strengthening its position across the rare earth supply chain. To support the transaction, Energy Fuels obtained a $250 million term loan commitment from Goldman Sachs (NYSE: GS) and will assume approximately $140 million of VAC’s adjusted net debt.
VAC, headquartered in Germany, is an advanced magnetics manufacturer serving more than 1,000 customers globally. The company holds over 400 patents and operates magnet production facilities across North America, Europe and Asia, including a South Carolina facility with current annual capacity of 2,000 metric tons of permanent magnets that can be expanded to 12,000 metric tons. VAC has shipped more than one billion rare earth permanent magnets over the past decade.