Solyndra
The business, the turning points, and the decisions behind them.
01 / WHAT IT BUILT
What the company did
Solyndra was a Fremont, California-based solar manufacturer founded in 2005 by Chris Gronet. It made cylindrical CIGS (copper indium gallium selenide) solar modules designed for large commercial rooftops. It raised over $1 billion from private investors plus a $535 million US Department of Energy loan guarantee—the first under the 2009 stimulus program.
02 / Solyndra FAILURE REASONS
Failure reasons
Solyndra could not compete with plummeting prices of conventional flat silicon panels, mostly from Asian manufacturers: module prices fell toward $1.50/watt, while its cylindrical design was more expensive to produce without enough power-output advantage to offset the cost. After a February 2011 liquidity crisis ($75M investor rescue) and the DOE's August 2011 refusal to restructure the loan a second time, Solyndra closed its factory, laid off 1,100 workers and filed for bankruptcy on September 6, 2011, defaulting on the $535 million guaranteed loan. Its executives invoked the Fifth Amendment before a House committee.
03 / EVENT HISTORY
Events in the structured record
- Founded
Solyndra founded in Fremont, California to build cylindrical CIGS solar modules.
- DOE loan
Solyndra receives the first $535M DOE loan guarantee under the 2009 stimulus program.
- Bankruptcy
After a Feb 2011 liquidity rescue and the DOE's refusal of a second restructuring, Solyndra shuts down, lays off 1,100 workers and files for bankruptcy on September 6, 2011.
04 / CONTEMPORARY REBUILD ASSESSMENT
Difficulty of rebuilding this project today
Material for this section is being gathered and checked. It will appear here once ready.
Overall assessment: Not completed
05 / CAUSAL CHAIN
How the factors connect
- 01
Founded 2005; raised >$1B private + $535M DOE loan guarantee.
- 02
Could not compete with collapsing conventional-panel prices.
- 03
Sept 6, 2011: bankruptcy; 1,100 laid off; $535M loan defaulted.
- 04
No reliable company-level loss figure disclosed (debt/default ≠ loss).