Sungevity secures US$50 million bankruptcy buyout

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
Bankruptcy court documents show Sungevity generated US$112.8 million during 2016. Source: Flickr/Money

After filing for Chapter 11 bankruptcy protection in March this year, Sungevity has been approved for sale to Minnesota private equity firm Northern Pacific Group for US$50 million.

Kevin Gross, a judge at the Delaware-based US Court of Bankruptcy approved the lone offer earlier this week, and just one month after Sungevity opened its Chapter 11 following a failed US$350 million acquisition by Easterly Capital.

“This has been a difficult case, and a speedy case like this one generally is,” Judge Gross said. “These debtors were in real extremis, and required a quick sale.”

Sungevity has US$188.9 million in debts and US$800 million in assets. The sale order hands over Sungevity in exchange for its combined debt claims.

“The agreement we have reached with the team led by Northern Pacific Group and its co-investors is a testament to their confidence in the future of Sungevity’s business,” said William Nettles, chief administrative officer of Sungevity, in a statement. “The actions we have announced will allow Sungevity to emerge as a stronger and more competitive company.”

Northern Pacific Group has said that it has the ability to provide additional funds if needed after the sale’s close.

“We expect to conduct business in the ordinary course with all customers,” Sungevity wrote in a blog post. “Our commitment to service is unwavering and we will continue providing our valued customers with the same products and quality of service they have come to expect from us.”

Read Next

July 22, 2021
US Senate majority leader Chuck Schumer has failed in a bid to fast-track the US’ US$1.2 trillion infrastructure investment bill through the Senate. But there remains hope that further progress could be made as early as next Monday, when some Republican senators believe the bill will be fit to proceed.
PV Tech Premium
July 15, 2021
Earlier this week the US National Renewable Energy Laboratory (NREL) published its 2021 Annual Technology Baseline (ATB) document, detailing the continued reduction in the levelised cost of electricity (LCOE) of the country’s core generators. Liam Stoker takes a look at the data and discusses just how cheap solar, and solar-storage, could become.
July 15, 2021
Legislation that would ban the import of all products from China’s Xinjiang region into the US has taken a critical step forward, passing the US Senate.
July 9, 2021
The US government has added a host of new China-based solar companies to its Entity List, effectively banning imports of their products into the country.
Live
June 24, 2021
The US government is set to block the imports of some solar products with links to the Xinjiang region of China in response to allegations of the use of forced labour.
June 21, 2021
The cost of insuring operational solar farms has skyrocketed over the course of the year, triggered by carriers rethinking their approaches to natural catastrophes and other extreme weather events. This has placed additional importance on mitigation strategies. Kevin Christy, COO for North America at Lightsource bp, details how the solar developer has adapted its strategy in the field.

Subscribe to Newsletter

Upcoming Events

Solar Media Events, Upcoming Webinars
July 29, 2021
Webinar
Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021
Solar Media Events, Upcoming Webinars
October 6, 2021