Sungevity Bankrupt, Some Customers Sold to SunRun

It’s now old news that Sungevity filed for Bankruptcy. It’s a bit less clear that the company is fully out of business, all employees were laid off and owners were asked to leave. The company that purchased much of the assets of Sungevity has chosen the name Solar Spectrum for their company. This is not a name change of Sungevity but a new company with new management and some of the assets formerly owned by Sungevity.

These assets do not include Sungevity customers. According to one contact who has a Sungevity lease in Los Angeles, his lease was purchased by Sunrun. Good news for him as Sunrun is regarded to be in excellent shape and is one of the few solar companies that is actually profitable.

It’s likely that customers were sold to separate entities depending on who underwrote their lease. Sadly those that purchased their system outright or one would assume, those who prepaid leases upfront, are out of luck as there was no asset for a 3rd party to purchase.

Apparently the new company plans to contact former Sungevity customers to offer them a new warranty to replace the one they lost when Sungevity closed its doors. It’s unclear why anyone would trust the new company who is new to the industry and may not be around long with their money.