USA Rare Earth Secures $75 Million Investment Deal

The latest update is out from USA Rare Earth ( (USAR) ).

On May 2, 2025, USA Rare Earth, Inc. closed a $75 million private placement with an institutional investor, involving the issuance of common stock and warrants. The proceeds will be used for capital expenditures at their magnet manufacturing facility in Oklahoma and for general corporate purposes. The transaction includes a registration rights agreement and stockholder support agreements to facilitate future stock issuance approvals. The company also made amendments to existing warrants and preferred stock terms to align with the new private placement terms, reflecting strategic financial adjustments to support its growth and operational goals.

More about USA Rare Earth

USA Rare Earth, Inc. is a company focused on building a vertically integrated domestic rare earth magnet production supply chain. It is constructing a 310,000 square foot rare earth sintered neo magnet manufacturing facility in Stillwater, Oklahoma, and controls mining rights to the Round Top Mountain rare earth and critical minerals deposit in West Texas. The company’s products are essential for various industries, including defense, automotive, aviation, industrial, medical, and consumer electronics.

YTD Price Performance: -16.65%

Average Trading Volume: 1,198,245

Technical Sentiment Signal: Buy

Learn more about USAR stock on TipRanks’ Stock Analysis page.