💥New Chapter 11 Bankruptcy - Sunnova Energy International Inc.💥
Residential solar company files chapter 11 cases with "firm footing"
We previewed the Sunnova Energy International Inc. chapter 11 bankruptcy cases – filed along with three affiliates (the “debtors”) in the Southern District of Texas (Judge Perez) – in this past Tuesday’s a$$-kicking briefing …
… wherein we highlighted some big first day deficiencies, like the lack of (i) a restructuring support agreement and (ii) a buttoned up DIP commitment, the latter of which being particularly bothersome given that the debtors were sitting on just $13mm of cash as of the petition date.
To mitigate their liquidity issues, the debtors expedited two sale motions — one to sell certain uncompleted solar systems to non-debtor and Apollo Global Management affiliate Sunnova TEP Holdings, LLC (“TEPH”) for $15mm (the “Atlas sale”) and another to shed the debtors’ “New Homes Business” to Lennar Homes LLC (“Lennar”)($LEN) for ~$16mm (the “Lennar sale”). Suffice it to say, a number of parties had concerns.
Before we get to whether/how those concerns were resolved and whether the debtors gained access to much needed capital, let’s take a quick refresher — and by “quick” we mean super-duper fast because, like, we’ve already covered the sh*t out of this company here…
