GCL Technology secures silicon supply with RMB600m annual cap

GCL Technology Holdings Limited announced a series of continuing connected transactions for the procurement of monocrystalline silicon ingots, formalized under the "2025 Framework Agreement." This agreement, initially entered into on January 1, 2025, between Konca Solar (as purchaser) and Inner Mongolia Zhonghuan (as seller), outlines the acquisition of 8,125 metric tonnes of monocrystalline silicon ingots for the financial year ending December 31, 2025. The original agreement was supplemented on March 31, 2025, and September 25, 2025, to revise pricing and establish an annual cap.

The Second Supplemental Agreement, dated September 25, 2025, sets the annual cap for the transactions at RMB600,000,000. Pricing for the ingots will be determined monthly, referencing prevailing market conditions and "Reference Prices," which are 90% of the average per unit price from three independent third-party industry websites. The seller, Inner Mongolia Zhonghuan, will also be responsible for transportation fees under the amended terms.

Historically, the aggregate transaction amounts for similar transactions under the 2024 Framework Agreement for the financial year ended December 31, 2024, and the 2025 Framework Agreement (as amended) for the eight months ended August 31, 2025, were approximately RMB734 million and RMB129 million, respectively.