Germany’s Solarmax facing bankruptcy

Solarmax, a German inverter and battery storage systems specialist with more than 30 years of experience, is facing insolvency. Last week, a German district court opened preliminary insolvency proceedings against the Bayern-based company.

The Neu-Ulm district court judges appointed Michael Pluta of Pluta Rechtsanwalts GmbH as preliminary insolvency administrator, as his law firm published on Friday. A statement from Pluta said Solarmax was experiencing financial difficulties due to market conditions.

“Due to the extreme price closing on the market, driven by dumping prices from Chinese manufacturers, the company had to offer its goods below the purchase price,” explained the insolvency administrator as a background to the proceedings.

Despite the proceedings, Solarmax’s business continues to operate. The company currently employs 34 employees whose salaries are secured for the next three months. According to Pluta, customers of Solarmax could now benefit from “from the sale of the overstock”.

In addition, negotiations will be conducted with several partners on the continuation of Solarmax. “The process is a challenge because the market environment is difficult for the company,” said Pluta. “Our top priority is currently to maintain business operations. In the interest of the creditors, we will deal with the best possible processing of the procedure.” His law firm is supported in the proceedings by the business economist Reinhard Wünsch.