Energy Fuels Announces Definitive Agreement to Acquire VAC for $1.9 Billion Equity Value

Key Points:

• Energy Fuels Inc. has agreed to acquire 100% of Vacuumschmelze GmbH & Co. KG (VAC) for approximately $1.9 billion, creating a fully integrated rare earth element (REE) mine-to-magnet platform spanning mining, processing, and magnet manufacturing across North America, Europe, and Asia.
• VAC is a leading advanced magnetics company with over 100 years of expertise, producing high-grade permanent magnets and soft magnetic materials, including a state-of-the-art Sumter, South Carolina facility capable of producing 2,000 tonnes per annum (tpa) of magnets, scalable to 12,000 tpa.
• The combined company will leverage Energy Fuels' upstream REE mining and processing assets, including the shovel-ready Donald Project in Australia and planned expansions of the White Mesa Mill, alongside VAC’s downstream magnet manufacturing capabilities, targeting high-growth sectors such as automotive, aerospace, defense, robotics, and data centers.
• Energy Fuels has secured a conditional $725 million loan from the U.S. Office of Strategic Capital to support expansion projects and is pursuing additional funding, including a $250 million term loan commitment from Goldman Sachs and financing for the Donald Project, aiming to accelerate growth and strengthen Western critical materials supply chains.
• The acquisition is expected to be immediately accretive to Energy Fuels’ cash flow and margins, with VAC’s 2025 adjusted EBITDA at $29 million and the Sumter Facility projected to generate $65-$75 million annual EBITDA at current capacity, with significant potential for expansion and increased market share in the growing rare earth magnet sector.