China's GCL SI to issue stock to back N-type cell factory expansion

Chinese photovoltaics (PV) company GCL System Integration Technology Co Ltd (SHE:002506) said on Monday it has secured a regulatory permit to launch an up to CNY-4.84-billion (USD 680.2m/EUR 620.5m) private share sale in Shenzhen.

The approval by the Shenzhen Stock Exchange Listing Review Centre will enable the manufacturer to issue up to 1.76 billion shares, or an amount not higher than 30% of its total stock capital.

The transaction is expected to bring net proceeds of CNY 3.4 billion, which will go to improve GCL System’s liquidity and support the expansion of an N-type cell factory in Wanzhi district, Wuhu City. The 10-GW facility launched production in August, while its second phase will extend its total capacity to 20 GW.

Plans for the private placement were greenlit by the Chinese company at a meeting last week. The newly-issued stock will be listed on the main board of Shenzhen Stock Exchange.

GCL SI, part of the Golden Concord Group (GCL), has multiple manufacturing facilities in China and projects in progress that will lift its module production capacity at home to over 30 GW. Once the second phase of the Wuhu factory becomes operational, N-type high-efficiency cells will account for 87% of the company’s overall cell production capacity.

(CNY 1.0 = USD 0.141/EUR 0.1282)

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