July 8, 2025 | Portland, OR & Durham, NC — FlexGen Power Systems has been named the stalking horse bidder in the Chapter 11 bankruptcy sale process of Powin LLC, a leading U.S. energy storage integrator. The move marks a major development in the ongoing consolidation of the battery energy storage sector.
On July 2, the U.S. Bankruptcy Court in New Jersey approved interim debtor-in-possession (DIP) financing of up to $27.5 million for Powin. FlexGen is leading the rescue package, structuring the funding across three stages: an initial $10 million tranche upon interim approval, a second $5 million upon final approval, and $7.5 million available in August following the completion of a sale. An additional $5 million may be offered, subject to FlexGen assuming key employment contracts.
FlexGen’s stalking horse bid values Powin at $36 million, including a $1.1 million breakup fee and $500,000 in expense reimbursement, providing a baseline offer that sets the floor for potential higher bids from other parties. The sale process is expected to conclude over the coming weeks, with FlexGen now in pole position to acquire Powin’s core business and assets.
Powin filed for Chapter 11 bankruptcy protection in June, citing financial strain amid a challenging market environment. The company also initiated the spin-off of its services subsidiary, Powin Project LLC, to shield it from the restructuring process. Without new funding, Powin warned it would cease operations and lay off workers by the end of July.
Founded in Tualatin, Oregon, Powin has been a major player in the U.S. battery energy storage market, with a strong project pipeline and global partnerships. However, it has faced mounting cost pressures and policy headwinds that have disrupted project timelines and financing.
FlexGen, based in Durham, North Carolina, has deployed over 3 GWh of storage systems globally. The company raised $100 million in Series C financing in 2022 led by energy trading giant Vitol. Its HybridOS software platform and turnkey solutions have positioned it as a rising force in the grid-scale energy storage space.
The outcome of the bidding process could reshape the competitive landscape of the U.S. energy storage industry, with FlexGen potentially absorbing one of its strongest rivals at a time of market flux.