Australian flow battery company Redflow has entered voluntary administration, with Deloitte appointed as administrator.
In an announcement to investors the company stated, “Redflow has developed a strategic plan to develop a larger scale X10 battery (based on its existing stack design) targeted at larger megawatt hour scale projects.
Related article: Stanwell eyes 5MWh project using Redflow X10 battery
“Redflow received significant commercial interest in the X10 battery and, with a growing customer base, was proposing a new factory be built and commissioned in Queensland to manufacture the X10 batteries at scale.
“This strategic plan requires significant capital. Over the past nine months Redflow has engaged with a number of state and federal governments and agencies that confirmed that significant Government support was available to fund the Redfow plan.
“In order to access these funds, however, Redflow required significant ‘matching funding’ from the Australian capital markets. Based on encouraging external financial advice, Redflow considered and pursued the equity funding sources available to it, but in the current market, has been unable to attract the required equity support.
Related article: Redflow eyes fourth big battery project in California
“In the absence of such support, the directors believe that Redflow is unable to continue as a going concern and have no option but to place the Redflow Group into voluntary administration.”
Deloitte will now undertake a review and assessment of Redflow’s business and
financial position before making recommendations as to the future of the company.
