China Investment Corp. (CIC) has signed a binding framework agreement with GCL-Poly Energy Holdings Ltd. for the subscription of approximately 3,108 million shares of GCL-Poly at a price of HK$1.79 per share. The total investment is around HK$5.5 billion.
The subscription is conditional upon, among other events, the signing of definitive documentation and approval by GCL-Poly's shareholders. Upon completion of the subscription, CIC will own an approximately 20% stake in GCL-Poly on a fully diluted basis.
CIC and GCL-Poly intend to establish a joint venture to invest in and develop photovoltaic projects or other solar energy projects based on an initial capitalization of US$500 million.
SOURCE: China Investment Corp.