OneRoof Energy, a residential solar services provider and wholly-owned subsidiary of OneRoof Energy Group, has entered into an agreement to sell certain of its direct and indirect interests in various residential solar project portfolios containing approximately 747 residential solar systems and related leases and power purchase agreements to Greenbacker Residential Solar LLC, an unrelated third party, for an aggregate purchase price of $8 million in cash.
The transaction was entered into as part of the company’s previously-announced wind-down process, which is ongoing. The closing of the transaction is anticipated to occur in several tranches, subject to the satisfaction of various customary conditions precedent, including applicable TSX Venture Exchange approval and approval by the shareholders of the company at a duly called shareholder meeting. There can be no assurance that the transaction will be completed as proposed or at all.
Approximately $1.8 million of the net proceeds of the transaction will be used to repay principal and accrued interest on a loan from New Resource Bank (an unaffiliated lender), which is secured by one of the portfolios. In addition, OneRoof expects that substantially all of the net proceeds from the transaction will be used to pay project-related expenses, including relating to the completion of the development of certain solar projects contained within the portfolios, other accrued payables, and the ongoing costs related to the company’s wind-down of its affairs. The company does not anticipate that the transaction nor any other transaction that the company may enter into will generate sufficient funds to pay claims of creditors in full. As a result, there will not be sufficient proceeds for any recovery by the shareholders of OneRoof.
In January 2017, the company announced that it was then in default under its head office lease for failure to pay rent. OneRoof has since entered into an amendment of such office lease to permit OneRoof to remain in its head office until March 31, 2017, for the payment of a total of $173,150 (covering the months of December 2016 – March 2017), which is approximately half of the previous stated rent under the lease agreement. In addition, the landlord agreed to permit OneRoof to cancel the $50,000 letter of credit that was previously in place in support of OneRoof’s obligations under the lease. The company has substantially reduced its workforce, and expects that any office space needed after March 31, 2017 will be minimal.
The prior default under OneRoof’s head office lease also resulted in a default under the company’s secured loan facilities, giving the secured lenders the right to accelerate and demand immediate payment of all outstanding balances, including principal and accrued interest, under such loans, totally approximately $100 million in the aggregate. The agreement with the landlord described above does not cure the default under the secured loan facilities. The company has not received any notice of acceleration under such secured loan facilities, however there can be no assurance that the lenders will not cause such indebtedness to be accelerated and immediately due and payable in full. The company’s liabilities under the secured loan facilities greatly exceeds the value of its assets, and an acceleration of the secured loans could result in the foreclosure of all or substantially all of the company’s assets.
News item from OneRoof Energy
We need to replace our roof, and Energy Service Experts will not honor the 1499 dollar removal and installation agreement in my contract , stating they did not buy that portion of my contract.m Has anyone else have this experience? My contract states that portions of it could be sold but nothing would effect my agreement. I initiated arbitration but they never responded. I send return receipt letters and never get the green cards back.
same here! purchased a 20 year lease & paid upfront to OneRoof Energy in Hawaii. Had my panels panels cleaned recently & was told some of my panels are not generating power. Under the lease contract, OneRoof Energy should be contacted for maintenance. What company do I call? Do you have a contact number? Is the lease contract still good & in tact? HELP!!!!
Hi Mike
I am in the same situation. Have had any resolution?
Who do I call for maintenance on my solar system if I paid the lease off up front?
Phillip I’m in the exact same boat as you. Can you let me know how you made out? IM trying to sell my house and sunserve doesnt have a contract. So I dont know what to do.
Thanks
Justin
Justin did you get a resolution, trying to locate information about the company as well, as I’m in the situation as you, trying to sell?
justin, did you get resolution? I am in the same boat as you waiting to go to closing on the sale of my home. I was able to finally get a response on a lease agreement and when they sent it to me it was the wrong property. this has been a nightmare.
Hi,
We are in the same situation in MA, and cannot close on our home. Company that has been sending us bills (Spruce) wants $24K to get out of contract, and leave the solar panels on the roof! Ugh!
We are 9 years into contract.
How did everyone solve this?
Thank you in advance,
Who’s the owner of sunserve ? We have a hole in our roof caused by solar company so the panels have been down for a year and we are still paying every month for no use of panels . And insurance won’t cover hole because of solar people
I think Sun Serve Energy has jumped on the ban wagon and are now abusing everyone that was under solar one and they should be in court by continuing bad practices not caring about the public abuse there putting on the public behind the faulty panels from one roof solar I want to get rid of them like tomorrow.
I lease 30 year agreement the panels will installed on the integrity of the sales man that my panels would be sufficient of the output of energy used within my house, well not true my bills are ridiculous and get this my energy could southern California Edison tells me there are not enough panels for the output of your home now Edison charges me ridiculous prices as well. SunServe Energy are modern day thieves one month was $125 March April $135 May $311 really .
I’m in the same boat, purchased pre paid lease from ORE, now not sure what to do
Hello everyone. My company is Beacon Solar. Our company installed 80% of ORE’s projects in Massachusetts. We offer maintenance programs at a very reasonable price. If you need assistance please give us a call @ 508-738-8112 or email us info@beaconsolarma.com. Thanks
I keep getting calls from Sunserve an every saying that they are my provider and I owe them back pay of around $1000! I keep asking for the agreement they have on file for me but they have yet to provide one? Under the Oneroof energy contract on chapter 17 it states that: (at the end of the term or the termination of this PPA if you have not renewed this PPA or exercise to your purchase option then one roof she’ll have the right to remove the system if one roof does not elect remove the system title to the system shall be transferred to you) wouldnt this mean i own it since I never signed with sunserve who supposedly bought out my contract
Good Morning Friends, I’m a home buyer, the resident has OneRoof Leased equipment installed on the property. However, after attempting to contact OneRoof for the transfer of the lease, I cannot successfully reach OneRoof. Does anyone have a contact phone number for Greenbacker, the new parent company?
Thank you
Green backer is Spruce energy and they suck. They claim they do not own the portion of our contract which protects us. That is bull according to my lawyer. I have tried arbitration but they do not respond to Jams. My contract call for a 1499 dollar removal and installation in case of roof failure. I refuse to pay them any longer until they fulfill their obligations. I ask for a copy of the contract and they sent me the original from one roof. The only way to possibly get satisfaction is to let them take you to court.
I guess im not the only one. I haven’t received a bill for my solar for a cpl months. and I cant reach anyone. I also notice that my electric bill was higher last month. Am I late on a bill. own the panels, sup[pose to return?
Same here, tried calling oneroof/greenbacker. Was told that my lease wasn’t purchased. Do I now own my system? Who do I call for service, as one of my panels aren’t working.
Yes, in the same boat here in Hawaii, paid for the lease up front so now what company is taking over on servicing my PV system? Would appreciate some resource. Have tried to contact OneRoof customer service and no one has replied to any messages or email. Help please.
Hi I Live in Hawaii and would like to know the name of the company that would service my solar under one energy’s contract for my 20 year lease which has been paid for in full at the time of installation
My question is the same. Who do we call on for service now? Stealth Solar made many promises, most of which haven’t come true.
Where do we turn?
What happens now with our contract with OneRoof Solar? Does this mean that Greenbecker Residential Solar LLC
will service our contract with you?