Feted aqueous battery maker Aquion Energy has filed for bankruptcy just weeks after Global Cleantech handed it a North American Company of the Year Award.
It was just the latest in a string of awards and accolades the Pittsburgh-based company has won in the past year.
But the plaudits did not translate to sales and last week the US firm announced it had filed a voluntary petition under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court of the District of Delaware.
The US company has cut around 80% of its staff — leaving only a core R&D team—, paused all factory operations, and has stopped the marketing and selling of its products.
The company said it did this to allow sufficient time to proceed with the sale of the assets under the ‘auspices of its Chapter case’.
Scott Pearson, Aquion’s outgoing Chief Executive Officer and Suzanne Roski, the company’s Chief Restructuring Officer said in a joint statement: “Creating a new electrochemistry and an associated battery platform at commercial scale is extremely complex, time-consuming, and very capital intensive.
“Despite our best efforts to fund the company and continue to fuel our growth, the company has been unable to raise the growth capital needed to continue operating as a going concern.”
According to Aquion, several potential buyers have shown interest in the company, and are conducting due diligence under non-disclosure agreements.
Pearson added: “We are optimistic that we can achieve the expected results and complete an asset sale under Chapter 11 in the coming months.”
The photo is Scott Pearson, the ChiefExecutive Officer at Aquion Energy.