Hanwha acquires stake in REC Silicon

The Korean industrial group Hanwha, which also owns the PV company Hanwha Q Cells Co. Ltd., is taking a stake in the Norwegian silicon manufacturer REC Silicon ASA through its subsidiary Hanwha Solutions. To this end, a share transfer was agreed between REC Silicon, Hanwha Solutions and Aker Horizons Holding AS, after which Hanwha Solutions and Aker Horizons are expected to each hold 16.67 percent of REC Silicon’s shares. Hanwha Solutions will acquire nearly 21.9 million shares at 20 Norwegian kroner (NOK, $2.26) each from Aker Horizons. Furthermore, REC Silicon will issue approximately 48.2 million new shares at NOK 20 each, which will also be acquired by Hanwha Solutions. REC Silicon expects to receive NOK 964 million ($108.7 million) in proceeds.
The transaction is expected to strengthen REC Silicon’s financial position and »ensure that the company has the necessary resources to reopen its fluidized bed reactor facility in Moses Lake.« Production at Moses Lake, Washington has been discontinued in July 2019. At its second site in Butte, Montana, REC Silicon produces silicon using the Siemens process. In particular, Hanwha and REC Silicon also want to take a step toward a »U.S.-based solar value chain« with their cooperation, according to a statement. In doing so, they explicitly refer to the U.S. Solar Energy Manufacturing for America Act (SEMA Act), which is currently under consideration.
REC Silicon is not intertwined with REC Solar, against which Hanwha Q Cells has been fighting a patent dispute for about two years (as well as against other PV companies).

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