SunPower files for Chapter 11 bankruptcy, sells assets

Facebook
Twitter
LinkedIn
Reddit
Email
SunPower also entered into an asset purchase agreement (APA) with residential solar company Complete Solaria. Image: SunPower.

US residential solar provider SunPower has filed voluntary petitions for relief under Chapter 11 of the US Bankruptcy Code.

At the same time, the company entered into an asset purchase agreement (APA) with residential solar company Complete Solaria—which is the result of a merger between companies Solaria Corporation and Complete Solar—to serve as the stalking horse buyer for assets associated with SunPower’s Blue Raven Solar business, New Homes business and non-installing Dealer network. Such a buyer is a company nominated by a company filing for bankruptcy to make an initial bid for its assets, to set a benchmark for other potential buyers to make bids.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Subject to court approval, the assets would be sold for US$45 million in cash by mid to late September. SunPower aims to continue a sale process for its remaining assets and effectuate any resulting sale transactions pursuant to Section 363 of the US Bankruptcy Code.

This announcement comes less than a month after investment bank Roth Capital published a letter from SunPower—obtained from industry contacts—saying that the company had stopped several operations, including new shipments and financing options.

Tom Werner, executive chairman at SunPower, said: “In light of the challenges SunPower has faced, the proposed transaction offers a significant opportunity for key parts of our business to continue our legacy under new ownership. We are working to secure long-term solutions for the remaining areas of our business, while maintaining our focus on supporting our valued employees, customers, dealers, builders, and partners.”

SunPower’s challenges prior filing for Chapter 11

Since last year, the residential solar provider struggled to remain afloat, when in December it breached a credit agreement. At the time, SunPower said it did not have the ability to borrow from the remaining capacity of US$53.7 million of revolving commitments as a result of the filing, but it had obtained a temporary waiver until 19 January 2024.

However, prior to that, the company had been sued for allegedly inaccurately reporting the costs of revenue and inventory metrics. Due to this, SunPower restated previously issued financial statements for fiscal year 2022 and the first two quarters of 2023. At the end of the fiscal year 2023, the company registered a net loss of US$247 million.

Not long after posting its financial results for the fiscal year of 2023 in February 2024, the residential solar provider managed to secure over US$300 million in project financing commitments for its residential solar and storage lease programmes. During that same week, SunPower announced the departure of its then-CEO, Peter Faricy, without mentioning the reason for his departure.

In April 2024, the company made around 1,000 job cuts and closed business segments. In addition to the restructuring, it identified misstatements in financial results for the fiscal year 2022. Before ceasing a number of activities, including new shipments, in July this year.

21 October 2025
New York, USA
Returning for its 12th edition, Solar and Storage Finance USA Summit remains the annual event where decision-makers at the forefront of solar and storage projects across the United States and capital converge. Featuring the most active solar and storage transactors, join us for a packed two-days of deal-making, learning and networking.
16 June 2026
Napa, USA
PV Tech has been running PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 16-17 June 2026, will be our fifth PV ModulelTech conference dedicated to the U.S. utility scale solar sector. The event will gather the key stakeholders from solar developers, solar asset owners and investors, PV manufacturing, policy-making and and all interested downstream channels and third-party entities. The goal is simple: to map out the PV module supply channels to the U.S. out to 2027 and beyond.

Read Next

October 8, 2025
US solar module prices jumped in Q3 2025 as developers scrambled to meet the 2 September 2025 safe harbour deadline for Investment Tax Credit (ITC) qualification, according to supply chain platform Anza.
October 8, 2025
Despite policy headwinds on the federal level, there is optimism for the future of the US solar and storage sector.
October 7, 2025
Solar PV will account for almost 80% of the 4.6TW of new renewable power expected to be added by 2030, according to the International Energy Agency (IEA).
October 7, 2025
Doral Renewables has secured a PPA with an unnamed 'corporate buyer' for its 430MW Cold Creek solar-plus-storage project in Texas.
October 7, 2025
US independent power producer (IPP) Arevon has begun operations at two utility-scale solar projects in Indiana.
Premium
October 6, 2025
Talon PV aims to be the first US company to safely manufacture TOPCon cells at scale, backed by European technology and a crucial First Solar licensing deal.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 21, 2025
New York, USA
Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK