File photo. SolarZero directors say the company explored a range of options for a restructure, but were unable to find a viable solution. Photo: lighthunter/123RF
Solar power company SolarZero has been put into liquidation, leaving some customers worried about the contracts they have signed with the company.
The company - which offers customers solar power systems with no upfront cost but an ongoing, multi-decade lease - said the directors had requested its shareholder appoint a liquidator.
It said directors had requested its senior lenders take enforcement action, and appoint another provider Verofi, to ensure power service for customers was not interrupted.
"The directors have advised company employees that due to unsustainable operating losses, and liquidity constraints, the business is unable to continue trading in its current form.
"As a result, the company has ceased operations from 4pm [Tuesday]. Russell Moore and Stephen Keen of Grant Thornton have been appointed as the liquidators of SolarZero."
SolarZero is owned by GRP III Regional Holdings Ltd, part of the BlackRock Group.
It was founded in the 1970s and has 160 employees throughout the country and offices in Auckland, Christchurch and Wanaka.
SolarZero directors said the company had explored a range of options for a restructure.
"Regretfully, SolarZero and its key stakeholders were unable to find a viable solution to sustain the business.
"This is a tough day for SolarZero teams, who have worked hard to build a more sustainable New Zealand. Today's decision is not a reflection on their work or commitment."
Customers posting on SolarZero's Facebook page were concerned about their contracts being honoured. One wrote: "Our contracts still stand and we still get the second battery free after 10 years, correct?"
Another asked: "Can we please have a heavily discounted liquidator sale buy back scheme. Feels like a liability on the roof now."
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