Noveon Magnetics Announces $75 Million Series B Funding
May, 2023
San Marcos, Texas | May 16, 2023 08:00 AM Eastern Daylight Time
Noveon Magnetics, the only U.S.-based manufacturer of high-performance neodymium sustainable rare earth magnets, today announced it has closed a $75 million Series B funding round led by NGP and Aventurine Partners. J.P. Morgan acted as placement agent to Noveon on the transaction. The new funding will accelerate the expansion of Noveon’s manufacturing facilities and enhance its position as a leading provider of critical rare earth magnets to businesses that span the automotive, defense, energy production, medical, and consumer goods sectors, among others. Additionally, James Wallis, Partner at NGP, will join Noveon’s Board of Directors.
“Our team is working hard every day to produce the rare earth magnets needed to power a low-carbon future while strengthening our domestic supply chain in accordance with our national security priorities,” said Noveon CEO Scott Dunn. “This funding will allow our company to continue ramping up production to help fulfill our robust sales pipeline and meet the skyrocketing global demand for critical rare earth magnets.”
“Noveon Magnetics has a proven capability of sustainably manufacturing superior rare earth magnets, which are an essential component in a wide variety of industries – especially those focused on the beneficial usage and generation of electricity,” said James Wallis, Partner at NGP. “We’re proud to partner with Noveon to help them scale their operations and provide their customers a reliable, high-quality supply alternative.”
Noveon’s 145,000 square foot San Marcos (Texas) facility is commercially operational and on-track to produce approximately 2,000 tons of magnets annually by 2024. Noveon was recently recognized as one of Fast Company’s Most Innovative Companies of 2023 for its unique, sustainable rare earth magnet manufacturing technologies.
About Noveon
Noveon Magnetics is the only rare earth magnet manufacturer in the United States. Noveon’s patented EcoFlux™ magnet can be made from mined rare earth elements or directly from recycled end-of-life magnetic materials and are even more powerful than the magnets they were made from. By leveraging a cache of materials sourced from discarded items, such as electric vehicles and hard drives, Noveon’s process is over 90% more energy efficient than traditional manufacturing and results in a stronger, more durable magnet. Noveon’s magnets have critical applications in electric vehicles, MRI machines, wind turbines, defense systems, and robots. More information is available at https://noveon.co/.
About NGP
NGP is a premier private equity firm that believes energy is essential to progress. Founded in 1988, NGP is moving energy forward by investing in innovation and empowering energy entrepreneurs in natural resources and energy transition. With $20 billion of cumulative equity commitments, we back portfolio companies focused on responsibly solving and securing the energy needs of today and leading the way to a cleaner, more reliable, more affordable energy future. For more information, visit www.ngpenergy.com.
About Aventurine Partners
Aventurine Partners is a private investment platform focused on opportunities that promote decarbonization and the energy transition. Founded in 2020 in partnership with Carnelian Energy Capital, Aventurine employs a flexible investment strategy to support growing companies with a range of capital needs. The firm is based in Houston, TX and Los Angeles, CA. For more information, please visit https://aventurinepartners.com/