Let’s bring this thread up again. Yesterday it was announced that Hanwha Corp., the background company of Q Cell, will increase its ownership in REC to one third in May:
On 23 March 2022 Hanwha Corporation and Hanwha Solutions Corporation announced a new agreement to acquire the remaining 16.67 percent of the shares in REC held by AKH. Completion of this transaction is expected to occur in May 2022. Following this transaction Hanwha Corporation and Hanwha Solutions Corporation will own up to 1/3 of the shares in REC and become the largest shareholder in the company.
About Hanwha:
The Hanwha group is a leading business enterprise based in South Korea with USD 61 Bn. of revenue and USD 199 Bn. of assets. Hanwha Solutions Corporation, one of the key subsidiaries of the Hanwha group, is an PV supplier and manufacturer globally, operating the largest module production plant in the US and has also a significant presence in Europe through its Q CELLS division.
Q CELLS is a leading supplier with the highest market share in the US residential market and commercial solar market with 24 percent and 21 percent, respectively, and will continue to invest to expand the renewable business in the US.
And the rationale:
During 2021 and 2022 market opportunities have increased significantly for REC to play a key role in restoring a domestic solar value chain in the US. This represents a potential for restarting the production of solar grade polysilicon with an ultra-low carbon footprint at the Moses Lake. Hanwha wishes to support the effort to reopen Moses Lake, to assist REC in assuming a position as a corner stone of the US solar supply chain. Hanwha’s ambition is to assist REC to reopen the Moses Lake factory from 2023. In addition, as a well-positioned supplier for silane gas, REC anticipates various investment opportunities with support from Hanwha.
REC will certainly get an excellent main owner in Hanwha, and in my opinion, the reopening of Moses Lake next year can be considered very likely. Previously, REC itself has pursued this, but has strongly tied it to what happens in politics. Hopefully Hanwha will bring momentum to this, and surely the polysilicon for solar cells will go directly into the manufacturing of Q cell’s products.