Major German developer and IPP Enerparc files for preliminary insolvency

Enerparc AG has begun preliminary insolvency proceedings, in a surprise to the industry. According to the official court announcement of the appointment of an administrator, the court appointed attorney Stefan Denkhaus from commercial law firm BRL. Under German insolvency law, the opening of preliminary proceedings secures employee salaries and wages via statutory insolvency benefits for up to three months.

Based on currently available information, the filing applies strictly to parent company Enerparc AG and does not include its subsidiaries or project special purpose vehicles (SPVs). Enerparc employs nearly 700 staff worldwide. In recent years, the company has developed roughly 500 photovoltaic projects totaling around 5.5 GW across Germany and international markets, of which 3.8 GW are connected to the grid, with several remaining in Enerparc’s own independent power producer (IPP) portfolio.

Battery energy storage systems (BESS) have been a key pillar of Enerparc’s recent expansion, where, alongside its solar assets, the company’s operating and pipeline portfolio encompasses around 32 large-scale battery storage facilities totaling roughly 500 MWh, primarily deployed as co-located systems adjoining its utility-scale solar farms.

Only this spring, Enerparc secured a major financing package of up to €1 billion (USD 1.16 billion) to accelerate the buildout of solar power plants and co-located battery storage systems across Europe. That funding consisted of a €500 million mezzanine junior loan alongside an initial €425 million long-term project debt facility, expandable up to €500 million via an accordion facility.

The initial court notice did not disclose the specific commercial reasons behind the insolvency petition.

The preliminary insolvency administrator stated on Monday evening that he and his team were already on site at Enerparc’s Hamburg headquarters to brief the workforce. The immediate priority is stabilizing day-to-day operations and the group’s legal entities. Denkhaus noted it is still too early to make a definitive assessment, but did not rule out potential filings for affiliate companies.

“The preliminary insolvency application proceedings began today. I am already holding initial discussions with the management board, the company’s advisors, and the financiers in order to stabilize the company,” Denkhaus stated.

From pv magazine Germany.