GCL technology amends subscription agreement, adjusts funding deployment

GCL Technology Holdings Limited announced amendments to its subscription agreement for new share issuance under a general mandate. The core change involves splitting the original 1st Tranche Subscription into Tranche 1A and 1B, and the 2nd Tranche Subscription into Tranche 2A and 2B, to better accommodate the Designated Person's funding deployment schedule. The definition of "Business Days" was also revised to exclude Saturdays, Sundays, and days with specific tropical cyclone or black rainstorm warnings when Hong Kong licensed banks are closed for general business. The total number of Subscription Shares for both tranches remains unchanged.

The company provided a detailed breakdown of the approximately HK$5,392m in net proceeds. HK$1,800m is allocated for structural adjustment of polysilicon production capacity, with an expected utilization by December 31, 2026. Another HK$905m will enhance R&D and production capacity of silane gas and related materials, also by December 31, 2026. HK$800m is designated for optimizing the company's capital structure by increasing shareholding in polysilicon subsidiaries, with the same utilization timeline.

Further allocations include HK$400m for general working capital, to be utilized by December 31, 2028, and HK$1,487m for the repayment of bank loans, by December 31, 2026. The subscriber, Infini Capital Management Limited, confirmed that the Designated Person for both tranches is Infini Global Master Fund, an investment fund managed by Infini Capital Management Limited. The company also clarified that the total number of shares immediately after completion will be 33,216,469,973.