Marlborough manufacturer Metamagnetics is absorbing sister company Lanthanide Solutions as a wholly-owned subsidiary, creating a vertically-integrated manufacturing process.
Metamagnetics specializes in producing radio-frequency components used in defense and aerospace systems, with an emphasis on protecting communications in places with heavy signal interference. Lanthanide Solutions is a rare earth element recycling, recovery, and magnet manufacturing company. Both were founded by Vincent Harris, CEO of Metamagnetics.
Lanthanide Solutions, based in Marlborough, uses a nonmining approach to rare-earth supply that speeds up production and reduces the environmental footprint compared to traditional mining. Bringing Lanthanide Solutions under the Metamagnetics umbrella allows Metamagnetics to establish a domestic pipeline for an industry where security and onshoring are a priority, the company announced on Thursday.
The merger comes as Metamagnetics, which generates about $20 million in annual revenue, has secured a contract expected to increase production by 3,000%.
Initially, Metamagnetics said it would focus on defense and aerospace markets, with plans to expand to clean energy, electric vehicles, communications, and advanced electronics.
Financial terms of the agreement were not disclosed.
Monica Benevides is a correspondent for Worcester Business Journal.
