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High Street Capital Portfolio Spotlight – Adams Magnetic

2026 March

At High Street Capital, a core part of our investment philosophy includes finding great companies with great teams, and helping them remove obstacles. Adams Magnetics is the perfect example.

 

When we partnered with Adams, we found a team with deep technical talent and a legacy of quality. This spotlight focuses on how High Street Capital has supported and partnered with the Adams team to transform their operations in 2025 to build resilience for 2026 and beyond. John Maisch, Adam’s president remarked, “High Street Capital has been more than an investor; they’ve been a true partner. Their support in diversifying our supply chain and refining our strategic focus helped us turn 2025 into a year of transformation. We are entering 2026 with a level of resilience and clarity we simply wouldn’t have achieved alone.”

 

The Adams DNA: Engineering at the Core

The Rare Earth magnet industry spans from simple commodities to mission-critical assemblies for robotics and defense. Adams has always thrived at the high-precision end of that spectrum.

 

With High Street Capital’s partnership, the team crystalized this focus, pivoting from generalist opportunities to deep technical partnerships. Today, Adams acts as an extension of their customers’ engineering departments, consulting on designs and optimizing performance rather than just filling orders. It is a testament to the staff’s quality that they turned engineering into the heartbeat of the organization.

 

Strategic Foresight: Converting Volatility into Strength

2025 was a stress test for the industry. In October 2025, China introduced unprecedented extraterritorial export controls, asserting jurisdiction over products containing even trace amounts of Chinese rare earth origin. While competitors scrambled, the Adams team proactively refined their sourcing protocols.

 

This foresight was validated on January 6, 2026, when China implemented strict controls on heavy rare earths. Because Adams prepared throughout 2025, they were ready.

 

This preparation puts Adams ahead of schedule for the industry’s looming “line in the sand”: January 1, 2027. Under Section 854 of the FY2024 NDAA, the Department of Defense will be prohibited from acquiring high-performance magnets mined or refined in China. While others are still mapping their supply chains, Adams is positioned as a compliant partner as these regulations take hold.

 

The Adams Strategy: Global Balance & Domestic Strength

The team is executing a three-pronged strategy prioritizing Resilience and Continuity:

  1. Technical Optimization: The engineering team guides customers toward readily available, optimized magnet grades that ensure robust designs despite market constraints.
  2. Supply Chain Balance: Adams has architected a “multi-node” network. By diversifying our partner base across distinct global regions, we have created structural redundancy that ensures continuity regardless of localized disruptions or geopolitical shifts.
  3. Investing in American Capabilities: Adams is investing significantly in domestic finishing competency. By slicing, coating, and assembling magnets in the U.S., they are shortening the supply chain and adding critical value domestically.

Adams Magnetics’ strength in 2026 is the direct result of the work the team put in throughout 2025. By empowering John Maisch and his staff to lean into their engineering DNA and build a resilient global network, Adams has turned macroeconomic headwinds into a competitive advantage. We are proud to be their partners.

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