Core Viewpoint - GCL-Poly Energy has decided to terminate its nearly three-year plan for a private placement aimed at raising 4.842 billion yuan, citing proactive measures in response to the photovoltaic industry's structural adjustments [1][2]. Group 1: Company Decisions and Actions - The company announced the termination of the private placement plan during a board meeting, emphasizing that this decision falls within the board's authority and does not require shareholder approval [1]. - GCL-Poly stated that the termination will not adversely affect its normal operations or long-term development, and it aims to shift its focus from horizontal capacity expansion to vertical quality enhancement [1][3]. Group 2: Financial and Operational Context - The private placement was intended to fund the Wuhu GCL 20GW (Phase II 10GW) high-efficiency solar cell project and to supplement working capital [2]. - The Wuhu GCL project had a total investment of 3.763 billion yuan, with a goal of adding 10GW of TOPCon solar cell production capacity within a year, targeting a conversion efficiency of over 26.3% and a post-tax internal rate of return of 10.37% [2]. - In the first half of 2025, GCL-Poly reported revenues of 7.694 billion yuan but incurred a net loss of 327 million yuan, reflecting challenges in the photovoltaic market due to overcapacity and technological iterations [2]. Group 3: Industry Trends and Challenges - The photovoltaic industry is facing a deep adjustment period in 2025, characterized by slowing production growth and price declines across various segments of the supply chain [2][3]. - There is a consensus in the industry to strengthen self-discipline, regulate government-enterprise behavior, and promote the exit of outdated capacities to ensure sustainable development and mitigate cyclical risks [3].