SunPower, a prominent solar firm, has filed for Chapter 11 bankruptcy in the United States.
Concurrently, the company has entered into a stalking horse agreement with Complete Solaria to sell portions of its business for $45 million in cash.
A stalking horse bid sets a baseline offer that other potential bidders must exceed to acquire the asset or company. California-based Complete Solaria, specializing in solar technology, services, and installation, will acquire SunPower’s Blue Raven Solar business, New Homes business, and non-installing Dealer network.
SunPower had previously acquired Blue Raven for $165 million in 2021. According to court documents filed in Delaware, SunPower listed its assets and liabilities in the range of $1 billion to $10 billion.
In addition to the sale agreement, SunPower plans to continue the sale process for its remaining assets. The company intends to liquidate any remaining assets and efficiently wind down its operations following the sales.
Earlier this year, SunPower announced a workforce reduction of about 1,000 employees and the closure of its SunPower Residential Installation locations and SunPower Direct sales. This move was part of its broader restructuring efforts amidst financial difficulties.