Circular Materials Receives 11.8 Million Euros to Expand Its Raw Materials Recycling Technology

The Italian ClimateTech scale-up Circular Materials has closed a SAFE financing round totaling 11.8 million euros. Participants in the round include CDP Venture Capital, the European Innovation Council Fund, EIT RawMaterials, 360 Capital, Corbites, and Lumar S.r.l. The company plans to use the capital to roll out its technology for recovering critical raw materials from industrial wastewater on a large scale.

The funding will focus on expanding operational capacity, further developing the company’s proprietary SWaP™ technology, and building an additional industrial recovery hub in Ferrara, Italy.

Recovering Critical Raw Materials from Industrial Wastewater

Circular Materials was founded in 2019 and develops processes for recovering valuable metals from industrial wastewater. Instead of losing these materials during wastewater treatment, they are processed into so-called secondary raw materials and reintroduced into industrial value chains.

The technology thus addresses two challenges at once: the growing demand for critical raw materials for Europe’s industry and the reduction of environmental impacts caused by industrial production processes.

Recovering More Than 99 Percent of Metals

At the heart of the platform is the company’s proprietary Supercritical Water Precipitation (SWaP™) technology. According to the company, it is designed to recover more than 99 percent of the dissolved metals from complex industrial wastewater while significantly reducing the generation of hazardous sewage sludge.

The solution is used in industries such as metal finishing, electroplating, battery recycling, and the chemical industry, among others.

Expansion of the European Circular Economy

Circular Materials already operates an industrial facility in Padua, Italy. Earlier this year, the site received “end-of-waste” status in accordance with the European Waste Framework Directive. This allows the recovered materials to be officially reintroduced into industrial supply chains as secondary raw materials.

The company received an additional boost in 2025 when its RECOVER-IT project was selected under the European Critical Raw Materials Act (CRMA). The initiative aims to make Europe’s supply of strategically important raw materials more independent and resilient.

Recovery Hub in Ferrara in the Planning Stages

With the new funding, Circular Materials plans to build another industrial facility in Ferrara. It is intended to significantly increase processing capacity and serve as a blueprint for additional recovery hubs in European industrial regions.

In doing so, the company is positioning itself as one of Europe’s pioneers in the recovery of critical raw materials from industrial waste streams and is helping to strengthen the European circular economy.