SolarZero offered no-money-up-front solar panel installations, instead charging a monthly subscription over a 25-year contract.
It quoted $177 for a four-person household.
United States private equity giant BlackRock bought SolarZero from its Kiwi founders in a mid-2022 deal. The price was not disclosed, but the deal required Overseas Investment Office approval, implying it was above the OIO’s $100m assessment threshold.
At the time it went into liquidation, it had 15,000 customers (which it framed as 40% of NZ solar installations) and 160 staff.
The debt facilities organised by NZGIF were designed to “allow SolarZero’s residential solar portfolio to increase to 20,000+ owner-occupied homes”.
Meanwhile, a SolarZero staffer, who confirmed his identity and role to the Herald, says he asked management for figures on the amount owing to staff.
He said 160 staff were told they had been terminated at a 4pm meeting on Tuesday, with no notice period or holiday pay offered.
He said he had been told by a member of SolarZero’s executive team that about $1.4m was owing in holiday pay and $1.6m for one-month notice pay.
“We have about $300,000 outstanding with our contractors. And then our subcontractors – our field service providers around the country – are owed in total around $600,000.
“Some of them are small operators and this could cause them to fold.”
He described the sums involved – about $3.7m – as “chump change for a company like BlackRock”.
He was planning to join a staff protest outside BlackRock’s Auckland office this afternoon.
The Herald put the staffer’s numbers to one of the liquidators, who did not immediately respond. The liquidators – Stephen Keen and Russell Moore of Grant Thornton – earlier indicated they would not comment until their first report, which is expected within five working days.
BlackRock said in a statement to the Herald:
“BlackRock’s Climate Infrastructure business, on behalf of the fund, held extensive discussions with various stakeholders over a period of time to explore and work through several options to reach an outcome that would meet the needs of various parties, which regrettably could not be brought to fruition.
“The team is deeply disappointed with this outcome and has worked with the SolarZero board to appoint a liquidator to ensure an orderly transition of the business in the interests of stakeholders, including SolarZero’s customers, employees, creditors, and others.”
NZGIF said in a statement on Tuesday that “NZGIF was informed today that SolarZero’s sole shareholder BlackRock has placed the company into voluntary liquidation”.
This morning it added in a statement: “The liquidator’s initial report is due in the next few days. However, it may take some time to understand the final financial implications under a range of scenarios”.
Chris Keall is an Auckland-based member of the Herald’s business team. He joined the Herald in 2018 and is the technology editor and a senior business writer.
