USA Rare Earth to Acquire Serra Verde for $2.8 Billion

USA Rare Earth Inc., a Nasdaq-listed supplier of rare earths and critical minerals, announced on April 20, 2026, that it has agreed to acquire Serra Verde Group, the owner of Brazil's Pela Ema mine and processing facility in the state of Goiás, for approximately $2.8 billion in a cash-and-stock transaction. The deal, which includes $300 million in cash and the issuance of about 126.8 million new shares, aims to bolster non-Chinese supply chains for magnetic rare earth elements essential to electric vehicles, renewable energy, aerospace, and defense technologies.

The acquisition positions USA Rare Earth as a more integrated player in the global rare earths market, combining Serra Verde's mining and initial processing operations with the buyer's existing facilities for separation, metallization, and magnet production. Serra Verde's Pela Ema mine, which began operations in 2024, is the only large-scale producer outside Asia capable of supplying all four key magnetic rare earths—neodymium, praseodymium, dysprosium, and terbium—at commercial volumes, along with yttrium. By 2027, the mine is projected to account for more than half of the world's non-Chinese supply of heavy rare...