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GCL-Poly Energy's Shares Surge on Two Orders That Could Yield Over USD5.4 Billion
Tang Shihua
DATE:  Feb 03 2021
/ SOURCE:  Yicai
GCL-Poly Energy's Shares Surge on Two Orders That Could Yield Over USD5.4 Billion GCL-Poly Energy's Shares Surge on Two Orders That Could Yield Over USD5.4 Billion

(Yicai Global) Feb. 3 -- Shares of China's GCL-Poly Energy Holdings momentarily jumped today after the solar wafer materials maker said that it has won two long-term contracts that could tally more than CNY35 billion (USD5.4 billion).

GCL-Poly Energy's stock price [HKG: 03800] jumped as much as 16 percent to HKD3.49 (US 45 cents) this morning, after which they were 1.7 percent down in the afternoon.

Longi Green Energy Technology will buy at least 91,400 tons or CNY7.3 billion (USD1.1 billion) worth of polycrystalline silicon materials from a unit of GCL-Poly Energy over the next three years, the pair said in separate statements yesterday.

Tianjin-based Zhonghuan Semiconductor's subsidiary will purchase 350,000 tons of the raw material in the next six years, it and the seller said in statements yesterday. Prices will be decided on a monthly basis, they added. If the price was the same as that of Longi's order, the two orders would total CNY35 billion.

Amid the Chinese solar power sector's recent boom, Longi and Zhonghuan, two major silicon wafer providers in the country, have sought to secure raw materials supply after receiving big orders from solar cell and panel makers during recent months.

Editor: Emmi Laine, Xiao Yi

 

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Keywords:   Supply Deal,Long Term,Polysilicon Material,Solar Energy,Longgi Green Energy,Zhonghuan,Semiconductor,GCL-Poly Energy