Core Viewpoint - USA Rare Earth is making a significant acquisition of British Less Common Metals to position itself as a leading manufacturer of rare earth metals and alloys outside of China [3][4]. Group 1: Acquisition Details - USA Rare Earth will acquire Less Common Metals (LCM) for $100 million, aiming to enhance its capabilities in producing rare earth metals such as samarium, samarium cobalt, and neodymium praseodymium [3][4]. - LCM has an annual revenue of $17.4 million, making it larger than USA Rare Earth, which currently generates no revenue [3]. Group 2: Financial Position - USA Rare Earth has $120 million in cash, most of which will be allocated for the acquisition, and plans to raise an additional $125 million from an existing investor [5]. - Post-acquisition, USA Rare Earth is expected to have a valuation of approximately 100 times trailing sales, all derived from LCM [5]. Group 3: Future Projections - The valuation may decrease to around 27 times sales next year when USA Rare Earth begins selling rare earths, but it remains a high valuation considering no profits are forecasted until 2028 [6].