Phoenix Solar to start insolvency proceedings

Facebook
Twitter
LinkedIn
Reddit
Email
Phoenix Solar said it was forced into bankruptcy, due to a customer in the US making a drawdown of the funds on PV project letters of credit with its US subsidiary, Phoenix Solar Inc. Attempts to find a solution failed, according to the company. Image: Phoenix Solar

Updated: International solar PV systems integrator Phoenix Solar has announced plans to enter insolvency proceedings due to US$ 8.0 million reimbursement claim by a US customer.

Phoenix Solar said it was forced into bankruptcy, due to a customer in the US making a drawdown of the funds on PV project letters of credit with its US subsidiary, Phoenix Solar Inc. Attempts to find a solution failed, according to the company.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

As a result, Phoenix Solar AG was obligated to immediately reimburse the issuing banks under its existing financing agreements the US$8.0 approximately, which exceeded the parent company’s financial capabilities. 

The company said it was planning to submit an insolvency filing to the relevant insolvency court in Munich, Germany, next week.

The company had recently lowered its full-year revenue guidance for a second time and added a profit warning as delays in project approvals increase due to the US ITC ‘Section 201’ trade case creating market uncertainty.

On December 18th, 2017, the management of Phoenix Solar Inc., the US subsidiary of Phoenix Solar AG filed for insolvency proceedings under Chapter 7 of the US Bankruptcy Code, which entails the immediate liquidation of the subsidiary.

Subsequent to the insolvency filing of the parent company as announced on December 8th and 13th, all pending orders and contracts were cancelled by the respective customers. 

Read Next

May 22, 2025
Prefabricated solar structure provider 5B has become the first recipient of the Australian government’s AU$1 billion Solar Sunshot Program, securing up to AU$46 million for its “Maverick” automated solar deployment system.
May 21, 2025
Installation of the anchoring system for what has been badged the world’s first floating offshore solar-wind project has been completed.
May 21, 2025
Carlyle has launched a new platform called Revera, dedicated to renewable energy, energy storage, and hydrogen projects in Australia and UK.
May 20, 2025
Enfinity Global has secured €100 million from Eiffel Investment Group to advance its solar PV and battery energy storage system (BESS) portfolio in Europe.
May 20, 2025
The three projects, Mammoth South, Mammoth Central I, and Mammoth Central II, have a generation capacity of 300 MW each.
May 20, 2025
Octopus Australia has received grid connection approval from AEMO for a 300MW solar-plus-storage site in New South Wales.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
June 17, 2025
Napa, USA
Solar Media Events
July 1, 2025
London, UK
Solar Media Events
July 1, 2025
London, UK
Solar Media Events
July 8, 2025
Asia
Solar Media Events
September 16, 2025
Athens, Greece