Make REC Great Again!

We won the first battle at the general meeting: A new Board of Directors is in place, and an investigation into REC Silicon’s past actions has been approved. We now expect the board to convene quickly and take decisive action – particularly in the areas of corporate governance, debt restructuring, and future revenue generation. Transparent and shareholder-friendly communication must become the new standard – the exact opposite of Hanwha’s secretive approach.

Legal proceedings in the U.S. are moving forward. As far as we understand, the court in Washington State has already ordered REC to release key documents tomorrow. These may provide insight into test shipments to China and the highly controversial termination of the ten-year contract with Hanwha. It remains incomprehensible that a party which has loaned REC substantial funds can simultaneously claim that Moses Lake holds no value. An overview of the documents in the U.S. court case is available here: Case #: 2:25-mc-00019.
We now expect both the Financial Supervisory Authority of Norway and Norwegian media to step up. There must be a full review of what critical information the previous board withheld – in the midst of an ongoing offer period – and what role advisors and brokers played in legitimizing the bid.

We hope and expect that more shareholders will be able to withdraw their acceptances with the basis in the mentioned court case – and that they find solutions with their brokers to make it happen. These shares could prove decisive in the next battle for control and value in REC. Be loud and clear!

Hanwha’s offer of NOK 2.20 per share – which has received support from only 8% of shares – is far from the 90% threshold needed to delist the company. The fact that all trades today were executed well above that level speaks volumes about market sentiment. Yet even these prices remain far below what the second largest shareholder consider the company’s true value.

Even the CEO has stated that the replacement value of the production facilities amounts to USD 3 billion. While this is not the same as market value, after deducting debt and dividing the remainder across 420 million shares, it becomes obvious that NOK 2.20 is a lowball offer.

We urge everyone to share facts and documentation so that all shareholders can make informed decisions – and stand united in protecting our shared value.