Silicon wafer manufacturer 1366 Technologies, Inc. (Bedford, Ma.; www.1366tech.com) and Wacker Chemie AG (Munich, Germany; www.wacker.com) announced that they have formed a longterm strategic partnership that is expected to accelerate growth and create lasting value for both companies in the solar industry. The partnership strategically aligns one of solar’s most promising innovators as it readies for large-scale manufacturing with the world’s leading supplier and industrial scale producer of high-purity polysilicon.
Under the terms of the partnership, Wacker will provide 1366, at competitive terms and conditions, with the majority of the polysilicon it needs for its planned commercial manufacturing plant and future expansions. The agreement guarantees access to high-quality materials for the new factory and provides 1366 with a significant advantage as it shifts to commercial manufacturing. The agreement also rounds out 1366’s supply chain in advance of its factory open, adding a strong supplier partnership to its alliances.
Wacker will invest $15 million in 1366 as an extension of the Company’s Series C financing. The resources will be allocated towards the working capital necessary for the plant, specifically for the prepayment of 1366’s initial silicon needs.
The partnership will also initiate a close technical collaboration between the two companies during which 1366 will benefit from Wacker’s silicon know-how, as well as its facility design, engineering and construction expertise.