SHUNFENG Photovoltaic (01165.HK) said that it has entered into a letter of intent with GCL-Poly Energy (03800.HK) for strategic cooperation on intended establishment a long-term strategic cooperation in the solar industry.

The term of the cooperation is 5 years from 1 January 2012 to 31 December 2016.

The scope of the intended cooperation shall include: (i) Shunfeng will purchase polysilicon and silicon wafers within the aforesaid five-year period from GCL-Poly; (ii) GCL-Poly will purchase solar cells and solar modules within the aforesaid five-year period from Shunfeng; and (iii) Shunfeng and GCL-Poly Suzhou will seek more cooperation opportunities to make joint investments in the solar industry and other industries in order to increase their respective market share and achieve capital growth.