Daqo New Energy Corp., a polysilicon manufacturer based in China, announced that it has received approval from Chongqing Rural Commercial Bank for RMB825 million loans, which include a six-year term project finance loan of RMB625 million and a one-year operating loan facility of RMB200 million.
"We are very pleased to extend our financial partnership with Chongqing Rural Commercial Bank and receive the approval of these loans," commented Dr. Gongda Yao, CEO of Daqo New Energy. "This loan approval is an example of the strong support and capital commitment that Daqo New Energy is enjoying from domestic Chinese banks. Our strong advantage in the cost structure of polysilicon manufacturing has been increasingly recognized by domestic banks in China. In addition, these loans have competitive interest rates that are lower than the Company's 2014 weighted average interest rate. The additional capital provided by these loans will enhance our liquidity position, and afford us additional financial resources and the flexibility to plan the next phase of our polysilicon capacity expansion."