Residential solar and home improvement financing platform Mosaic has filed for Chapter 11 bankruptcy protection in the Southern District of Texas. Its estimated assets and liabilities are between $1 billion and $10 billion.
Mosaic offers homeowners financing options for solar, storage and other sustainable home improvement projects. The company has a network of contractor partners and approved product offerings.
Mosaic says it intends to complete a restructuring and recapitalization supported by its existing lenders and Forbright Bank. It has already taken actions to “strategically and operationally reorganize the business.”
Mosaic blames “macroeconomic challenges” facing the entire residential solar industry, like high interest rates and unsupportive legislation at the federal level, which have impacted its access to capital.
Throughout the bankruptcy process, Mosaic says it expects to remain fully operational and will maintain its loan servicing operation. Customers will continue to pay their loans as planned. Forbright Bank will support Mosaic’s servicing operations in the meantime.
“Today’s announcement marks a significant step for Mosaic to address our financial position amid the macroeconomic challenges facing the residential solar industry as well as the recent legislation passed by the House that rolls back residential solar tax credits,” said Patrick Moore, Mosaic CEO. “Throughout this process, we remain focused on maintaining stability for our customers, business partners and employees.”
Mosaic’s June 6 bankruptcy filing comes at the same time as Sunnova’s filing, another company working in the solar leasing space.
