HK Stock Market Move | GCL TECH (03800) rose by more than 5%, planning to offer a discount of approximately 8.73% for the rights issue to raise a net amount of 5.392 billion yuan, which will be used to promote structural adjustment of polysilicon production capacity, etc.

GCL TECH (03800) rose more than 5%, as of the time of writing, it increased by 3.17% to 1.31 Hong Kong dollars, with a turnover of 2.35 billion Hong Kong dollars. On the news front, GCL TECH announced that the company entered into a subscription agreement with the subscriber on September 16, 2025 (before the trading session). According to this, the subscriber conditionally agreed to subscribe, and the company conditionally agreed to issue and distribute a total of 4.736 billion subscribed shares, with a subscription price of 1.15 Hong Kong dollars per subscribed share; and on September 16, 2025 (before the trading session), the company entered into a distribution agreement with the distribution agent in relation to the subscription matter. According to this, the distribution agent conditionally agreed to use its best efforts to induce the subscriber to subscribe for the subscribed shares at the subscription price. The subscription price of 1.15 Hong Kong dollars per subscribed share represents a discount of approximately 8.73% from the closing price of 1.26 Hong Kong dollars per share on the last trading day at the Stock Exchange. The total amount of funds raised from the subscription matter will be approximately 5.446 billion Hong Kong dollars. After deducting related distribution agent fees, costs, and subscription expenses, the net proceeds of the subscription matter will amount to approximately 5.392 billion Hong Kong dollars. The company plans to use the net proceeds from the subscription matter as follows: 65% will be primarily used in three areas: first, for funding reserves for supply-side reforms to promote structural adjustments in polysilicon production capacity; second, to strengthen the second curve, with a focus on establishing global leading silane gas production capacity and output, completing overseas replacement, meeting the increased demand for silane gas in the semiconductor integrated circuit industry, the volume expansion in the transition from TOPCon batteries to CECEP Solar Energy BC batteries and the multiple applications of solid-state and semi-solid state batteries in the lithium battery industry, as well as the high requirements for silane gas quality in the display panel industry, to create new growth poles for Xin'xin with silane gas; and third, to optimize the company's capital structure; and 35% will be used for general working capital purposes and repayment of existing loans.