DBS released a research report stating that GCL TECH (03800) has placed 4.736 billion new shares to Wuji Capital Management at HK$1.15 per share. The net proceeds will be used to establish anti-involution capital reserves and develop silicon methane gas. The bank expressed optimism that the solar industry can gradually eliminate excess capacity in the first half of next year, believing that supply and demand will become healthier and more balanced. Considering the mainland government's increasing support for the anti-involution movement, DBS raised GCL TECH's target price from HK$1.45 to HK$1.65 while maintaining a "Buy" rating.
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