As demand for critical raw materials continues to rise across industries such as clean energy, electronics, automotive manufacturing, and advanced technologies, Europe is searching for new ways to strengthen domestic supply chains while reducing environmental impact. At the same time, industrial facilities generate vast amounts of wastewater containing valuable dissolved metals that are often lost during conventional treatment processes. Recovering these materials offers an opportunity to reduce waste, lower dependence on imported resources, and support a more circular industrial economy. Italian cleantech company Circular Materials is developing technology to unlock this potential, and it has now secured fresh investment to accelerate its commercial expansion.
Circular Materials has raised €11.8 million through a Simple Agreement for Future Equity financing round backed by CDP Venture Capital, the European Innovation Council Fund, EIT RawMaterials, 360 Capital, Corbites, and Lumar S.r.l.
The investment will support the company’s transition from industrial validation to wider commercial deployment while strengthening its position within Europe’s growing circular economy.
Turning Wastewater Into Valuable Resources
Founded in 2019, Circular Materials focuses on recovering critical and strategic raw materials from industrial wastewater.
Instead of treating wastewater solely as a waste product requiring disposal, the company views it as an important secondary source of valuable materials that can be returned to industrial supply chains.
Its technology enables manufacturers to recover metals that would otherwise be lost during conventional wastewater treatment, helping improve both environmental performance and resource efficiency.
The company believes this approach can play an important role in strengthening Europe’s long term supply of critical raw materials.
Proprietary SWaP Technology
At the heart of Circular Materials’ platform is its proprietary Supercritical Water Precipitation technology, known as SWaP.
The process has been developed to recover more than 99 per cent of dissolved metals from highly complex industrial wastewater streams.
In addition to maximising material recovery, the technology significantly reduces the generation of hazardous sludge, one of the major environmental challenges associated with conventional wastewater treatment.
By combining high recovery efficiency with lower waste generation, SWaP supports more sustainable industrial operations while creating valuable secondary raw materials suitable for reuse.
The company sees this as an important step toward more circular manufacturing systems.
Supporting Europe’s Resource Security
The growing demand for critical minerals is creating increasing pressure on global supply chains.
Many industries depend heavily on imported raw materials, making supply security an important strategic issue for Europe.
Circular Materials believes recovering valuable metals from existing industrial waste streams can reduce dependence on external sources while creating new domestic supplies.
This approach aligns with broader European efforts to strengthen resource resilience, improve industrial competitiveness, and support the transition toward cleaner and more sustainable manufacturing.
Recovering materials already present within industrial processes also contributes to reducing overall environmental impact.
Expanding Commercial Operations
The newly secured funding will support the company’s next stage of growth as it scales its technology for wider industrial deployment.
A major focus of the investment will be the development of the next Circular Materials Hub located in Ferrara, Italy.
The facility is expected to significantly increase treatment capacity while serving as a model for future recovery hubs across Europe’s industrial regions.
Beyond infrastructure expansion, the company plans to strengthen its operational capabilities and continue advancing its proprietary technology platform.
Advancing the Circular Economy
Circular Materials’ long term vision extends beyond wastewater treatment.
The company aims to establish a network of recovery facilities capable of transforming industrial wastewater into an important source of secondary raw materials for multiple industries.
By recovering valuable metals that would otherwise be discarded, the technology supports both environmental sustainability and industrial resource security.
As Europe continues investing in cleaner manufacturing and stronger circular supply chains, technologies capable of recovering strategic materials from existing industrial processes are expected to play an increasingly important role. With fresh funding, expanding treatment capacity, and continued innovation in resource recovery, Circular Materials is positioning itself to help reshape how industries view wastewater, transforming it from an environmental challenge into a valuable source of critical raw materials.