Battery maker Powin filed for bankruptcy protection on Wednesday, just months after obtaining a $200 million credit facility. The company’s Chapter 11 filing revealed outstanding debts exceeding $300 million. This move will allow Powin to remain operational as it restructures liabilities under court guidance.
The Oregon-based company specializes in grid-scale energy storage systems, relying primarily on lithium-iron-phosphate (LFP) battery cells imported from China. Earlier this year, former CEO Jeff Waters indicated that Powin had struggled to identify viable domestic suppliers, citing the limited maturity of the U.S.-based battery supply chain.
In response to its financial difficulties, Powin recently reduced its workforce significantly, laying off roughly 250 employees earlier this month and retaining only 85 staff members. This current employee count represents less than a fifth of its initial headcount at the start of the year. As part of its reorganization, the company named Chief Projects Officer Brian Krane as its new CEO, replacing Waters.
Powin had previously emerged resilient from the initial wave of clean-tech companies more than a decade ago. After transitioning to private ownership in 2018, Powin secured substantial investment, including a $135 million growth equity infusion in 2022 from a coalition of investors such as Energy Impact Partners, Trilantic Energy Partners, and GIC. More recently, it obtained the $200 million revolving loan from investment firm KKR to support continued growth.
Over the past several years, Powin rapidly expanded alongside the booming market for grid-scale battery storage solutions, becoming the third-largest battery supplier by installed capacity in the U.S. and fourth globally. Although the company has not clarified precisely what prompted such a rapid accumulation of debt, industry observers speculate that ongoing tariffs on Chinese battery cells may have impacted company finances.
