According to foreign media reports, US rare earth miner MP Materials announced on Thursday that the US Department of Defense (DoD) had agreed to purchase preferred shares of the company for $400 million and would become its largest shareholder. As a result, MP Materials' stock price soared by more than 50% on Thursday, closing at $45.23. Its market capitalization reached $7.4 billion, an increase of approximately $2.5 billion from the previous trading day.
The US DoD stated that rare earths are used to manufacture critical components in a series of military weapon systems, including F-35 fighter jets, drones, and submarines.