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Solarwatt Unit SunStrom Files for Insolvency at Dresden Court

SunStrom GmbH, a unit of the German solar-power plant developer Solarwatt AG, filed for insolvency, its administrator said.

SunStrom employs about 140 people in Dresden and sought protection from creditors with the local court yesterday, said Ruediger Wienberg, who is the preliminary administrator for the insolvency case, according to an e-mailed statement.

SunStrom “is interesting for investors” because it has more than 12 years of project experience, Wienberg said in the statement. Solarwatt filed for insolvency in June and seeks to restructure under self-administration.

Increased competition in the solar-energy industry has slashed profit margins, cutting solar-panel prices by half last year and tipping more than a dozen companies into bankruptcy, including Q-Cells SE, once the world’s largest cell maker.

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