Hands install solar panels during a SunPower installation on a home in Napa, California, on July 17, 2023.
David Paul Morris | Bloomberg | Getty Materializations
The rooftop solar installer SunPower has filed for bankruptcy, after struggling for months in the face of high interest prices and allegations of misconduct in its reporting practices.
SunPower stock dropped nearly 44% Tuesday to close at 45 cents per ration. Its shares have collapsed more than 90% this year.
SunPower listed assets and liabilities between $1 billion and $10 billion in its Chapter 11 safeguard filing late Monday in U.S. Bankruptcy Court for the District of Delaware. Its largest stakeholder is TotalEnergies, according to FactSet.
SunPower is won over its Blue Raven Solar and new homes businesses as well as its non-installing dealer network to Complete Solaria for $45 million at the mercy of to court approval, according to a statement late Monday. The company has asked the court to approve the sale by mid-September.
SunPower blueprints to sell its remaining assets through the bankruptcy process, the company said. Its stock collapsed below $1 in July after the callers halted new leases, product shipments and installations.
The residential solar sector has been walloped as high interest values have depressed demand, leaving companies with too much inventory on hand. But SunPower’s stock has also been impaired pressure due to allegations of misconduct in its reporting practices.
The U.S. Securities and Exchange Commission subpoenaed SunPower in February for documents on revenue recognition practices in quarterly reports from 2023, according to a filing.
SunPower’s independent accountant Ernst & Babyish resigned in June because it did not want to be associated with the company’s financial statements, citing allegations that higher- ranking members of management were involved in misconduct related to financial statements.
In December, SunPower breached a credit ahead and warned that “substantial doubt” existed about its ability to keep operating.