GCL-Poly Buying Stakes in Same Time for HK$1.44 Billion

GCL-Poly Energy Holdings Ltd. (3800), the world’s biggest maker of polysilicon, plans to buy a 68 percent stake in Hong Kong-listed Same Time Holdings Ltd. for HK$1.44 billion ($186 million).

GCL-Poly will buy 360 million new Same Time shares at HK$4 each, and will seek a waiver from the rule requiring it to make a buyout offer, according to a joint filing yesterday by the two companies to the Hong Kong stock exchange.

Same Time plans to shift its focus to renewable-energy projects including solar plants, according to the statement. GCL-Poly owns existing and planned photovoltaic power stations in the U.S., South Africa and China with combined capacity of more than 2 gigawatts, according to its website.

“The deal will be a good beginning for GCL-Poly’s future solar power business after it becomes a controlling shareholder in Same Time,” which can provide an additional financing channel, Yin Lei, a Shenzhen-based analyst at China Merchants Securities Co., said by phone.

GCL-Poly’s stock jumped as much as 4.6 percent to HK$2.74, its highest since Jan. 23, before trading 1.2 percent higher at HK$2.65 yuan at 10:35 a.m. local time. Same Time slumped 5.9 percent to HK$12.70 after declining as much as 11 percent, the biggest decrease since Jan. 21.

The directors of Hong Kong-based Same Time plan to resign when the deal is completed and GCL-Poly will nominate new board members, according to yesterday’s filing. Same Time is now a maker of printed circuit boards and consumer electronics.

GCL-Poly, based in Hong Kong, said in October that it was considering an investment of HK$1.8 billion in Same Time.

To contact the reporter on this story: Justin Doom in New York at jdoom1@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.