SunPower Files for Chapter 11 Bankruptcy, Plans $45 Million Asset Sale
SunPower Corp., a prominent player in the U.S. solar industry, has filed for Chapter 11 bankruptcy in Delaware. The company, which listed assets and liabilities in the range of $1 billion to $10 billion, has entered into a 'stalking horse' agreement with Complete Solaria to sell specific business units for $45 million in cash. The transaction includes SunPower's Blue Raven Solar business, New Homes business, and non-installing Dealer network. SunPower had acquired Blue Raven for $165 million in 2021.
The bankruptcy filing and asset sale come as SunPower faces financial difficulties exacerbated by high interest rates and subsidy changes in California, the industry's largest market. The company has also contended with internal challenges, such as defaulting on a credit agreement and restating earnings. Following the sale process, SunPower plans to liquidate any remaining assets and undergo an efficient wind-down of its operations.
