Solar Firm LONGi Inks Silicon Supply Agreement With Ferroglobe
Portfolio Pulse from Shivani Kumaresan
LONGi, a Chinese solar technology company, has signed a long-term silicon supply agreement with Ferroglobe PLC (NASDAQ:GSM), starting January 1, 2024. Ferroglobe will supply quartzite and metallurgical grade silicon to support LONGi's strategy of increasing purchases from Western suppliers. This partnership is aimed at enhancing LONGi's supply of high-efficiency and eco-friendly solar products globally. Ferroglobe recently reported a 36% decline in revenue for FY23 to $1.7 billion. Following the announcement, GSM shares saw a slight increase of 0.44% in premarket trading.

March 04, 2024 | 1:21 pm
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Ferroglobe PLC (NASDAQ:GSM) enters a long-term supply agreement with LONGi to supply quartzite and metallurgical grade silicon, starting January 1, 2024. Despite a recent 36% revenue decline, GSM shares increased by 0.44% in premarket trading.
The agreement with LONGi could be seen as a positive development for Ferroglobe, potentially offsetting the impact of its recent revenue decline. The premarket share price increase suggests a positive market reaction to the news. However, the full impact will depend on the execution of the agreement and its contribution to Ferroglobe's financial performance.
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