French Firm MagREEsource Raises €23M Funding

The round was led by Fonds SPI 2, managed by Bpifrance under the France 2030 initiative.
Other investors include FININDUS (backed by ArcelorMittal and Flanders Region), INNOVACOM, BNP Paribas Développement, C2AD, and several regional and impact funds. Strategic partners like L-Acoustics, Pochet Group, and private investors also participated.

“With this support for MagREEsource, the SPI fund is backing the pre-industrialisation of a disruptive technology that is crucial to the energy transition value chains. The production of permanent magnets poses a significant industrial challenge and it is vital to develop innovative and competitive capacity in this sector in France. The process developed by MagREEsource is both efficient and environmentally friendly, paving the way for a new industrial sector rooted in the region,” states Magali Joëssel, Director of the SPI Fund at Bpifrance.

The funding will help MagREEsource move forward with its industrial plans, including launching its second-generation circular process, called the "short Fusion loop," and designing its upcoming MagFactory, set to open in 2028.

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The new factory will produce up to 1,000 tonnes per year and has been officially labeled a ‘European Strategic Project’ under the Critical Raw Materials Act.

“MagREEsource demonstrates that technology and the circular economy can address sovereignty issues,” says Erick Petit, co-founder of MagREEsource. “We are proud to lead a reindustrialisation project in France that creates high added-value jobs.”

The permanent magnet market plays a key role in many strategic areas. Ongoing geopolitical tensions highlight the urgent need for Europe to build its own sustainable and independent magnet industry.

Since April 2025, China's dominance in the magnet supply chain—and its export restrictions—have put European industries at risk and slowed down the energy transition.

Founded in 2020, MagREEsource is a spin-off from CNRS/Institut Néel in Grenoble, created by Sophie Rivoirard and Erick Petit.

MagREEsource builds on 30 years of R&D to develop patented, eco-friendly technologies for making permanent magnets from rare earth materials.

The company is helping drive Europe’s green and digital transition by producing high-performance magnets from recycled rare earths—cutting carbon emissions and bringing production back to Europe.

Since December 2024, MagREEsource has been operating its first site in Noyarey using its short hydrogen loop technology, with a current production capacity of 80 tons per year.

With a team of 50 people—one-third focused on R&D—the company is scaling up to meet the needs of key European industries.

MagREEsource targets sectors like wind energy, aerospace, robotics, and defence, aiming to become Europe’s leading magnet manufacturer.

About MagREEsource

MagREEsource, born from 25+ years of CNRS research, specializes in Hydrogenation technology for NdFeB magnets. As a European metallurgy company, it promotes circular economy by offering a green, short-loop recycling solution to secure and diversify rare earth magnet supply for Europe's high-tech industries.