GCL Tech completes fundraising to acquire polysilicon manufacturing assets

Polysilicon producer GCL Tech has announced that it completed a private placement of 2,029,565,000 shares in October, with Infini Global Master Fund subscribing at HKD 1.15 per share. The company had announced its fundraising plans last month (see China Solar PV News Snippets).

This forms the first tranche of the company’s HKD 5.446 billion (~$701 million) fundraising plan announced in September by issuing new shares, with the next round scheduled for November.

According to the latest disclosure, HKD 1.8 billion (~$232 million) of the total proceeds will be used to acquire polysilicon manufacturing assets in China (specific targets undisclosed) to expand its production capacity. HKD 905 million (~$114 million) will be dedicated to production, acquisition, and R&D of silane gas and related materials, including energy storage materials, silicon-carbon anodes, and carbon nanotubes. The remainder of the proceeds will be allocated for capital structure optimization and debt repayment.