Royalty Management Holding Corp (NASDAQ:RMCO) applauded the recent $200 million private equity financing secured by ReElement Technologies Corporation, a portfolio company in which Royalty Management holds a royalty agreement.
The capital raise, led by Transition Equity Partners, will fund ReElement’s operations and revenue expansion, with Royalty Management poised to benefit from increased sales through its existing royalty arrangement.
Royalty Management is also participating in a second sponsored research and intellectual property program with ReElement. Under this program, RMCO is providing funding to support the expansion of ReElement’s technology and intellectual property platform, focused on processing, refining, and separating rare earth elements, platinum group metals, and other critical minerals using newly developed technologies and patents.
Royalty Management receives royalty payments on all sales of refined elements produced using these new technologies, giving the company direct exposure to ReElement’s revenue growth.
“We are incredibly excited about this big step forward for ReElement, with the company securing additional capital for its business expansion, and more importantly, the expansion of their revenues, for which Royalty Management has a financial benefit,” Thomas Sauve, CEO of Royalty Management, said in a statement.
“We look forward to ReElement continuing their expansion and to our productive partnership on the progression of novel technologies in the critical element refining sector.”