Electronics Production | September 09, 2011
Solyndra files for insolvency in Switzerland & Germany
Solyndra LLC announced on August 31, 2011 to suspend its manufacturing operations.
Solyndra subsequently filed a petition for relief under Chapter 11 of the U.S. Bankruptcy Code on September 5, 2011 while it evaluates options, including a sale of the business and licensing of its advanced CIGS technology and manufacturing expertise. With the discontinuation of operations and ceasing of business by Solyndra LLC in the United States, Solyndra’s subsidiary, Solyndra International AG in Baar, Switzerland and its subsidiary Solyndra GmbH in Holzkirchen, Germany, no longer have access to funding. As a result, Solyndra International AG and Solyndra GmbH have similarly ceased operations and are expected to file for insolvency under the laws of their respective jurisdictions in the coming days. Despite strong growth in the first half of 2011 and traction in North America and EMEA with a number of orders for very large commercial rooftops, Solyndra could not achieve full-scale operations rapidly enough to compete in the near term with the resources of larger foreign manufacturers. This competitive challenge was exacerbated by a global oversupply of solar panels and a severe compression of prices that in part resulted from uncertainty in governmental incentive programs in Europe and the decline in credit markets that finance solar systems. “We are incredibly proud of our employees, and we would like to thank our business partners for their strong support in the last years,” said Clemens Jargon President of Solyndra International AG and Managing Director of Solyndra GmbH. This step of Solyndra LLC with direct unavoidable consequence for the AG and GmbH was an unexpected outcome and is most unfortunate.”