Grid-scale battery startup, Xtreme Power, has filed for bankruptcy after failing to raise sufficient capital through selling its manufacturing site.
The company, which makes advanced lead-acid batteries for large stationary projects, has been struggling to maintain its business for some time. In April 2013 the company put its Oklahoma factory on the market. It has not yet been sold and will form part of the bankruptcy arrangements.
Creditors are financing the continued operations and maintaining a core staff.
A takeover by a creditor could keep the company afloat as it enters Chapter 11 protection at the bankruptcy court in Texas. In the court papers the company outlined its intention to “continue its operations at all locations as it begins the process to identify an acquirer”.
CEO Alan Gotcher said the bankruptcy filing is “structured to allow one of the company’s creditors to file a stalking-horse bid” in case a bid has not been made by the end of February.
According to the CEO the business is set to break-even this year after interest, taxes, depreciation and amortisation have been taken into account.
Xtreme has around 60MW of advanced lead-acid batteries deployed in stationary energy storage sites around the world. It also has significant deployments in the emerging grid-scale energy storage including a 36MW system at Duke Energy’s Texas wind farm– the largest battery project in the US.
Xtreme has raised more than $55m from investors since 2004. It hopes finding a creditor to buy the company will save Xtreme from bankruptcy.
