By Doug Young
First it was skyrocketing polysilicon prices that saved producer GCL-Poly Energy Holdings Ltd. (3800.HK) from collapsing under a mountain of debt. Now, the polysilicon maker is hoping to further bolster its financial position through a potential listing on the Chinese mainland, which has handsomely rewarded such newcomers with very high valuations.
The Hong Kong-listed GCL-Poly was reportedly mulling a listing on one of mainland China’s A-share markets as early as 2017, following a trend for overseas-listed Chinese companies to privatize and relist on the mainland in hopes of getting better valuations. That trend has changed slightly over the past two years, following China’s launch of its Nasdaq-style STAR Market that allows firms like GCL-Poly to maintain their overseas listings while also floating shares at home.