Renewable energy retailer Zen Energy faces liquidation at a creditors’ meeting this week after the voluntary administrators found no viable alternative, and pointed to the reasons why the venture ultimately failed.
It pointed to a high risk trading strategy – long on solar and ultimately short on battery storage – and suggests that secured creditors will get a maximum 10c in the dollar in the case of liquidation, and possibly nothing at all, and unsecured creditors will likely get nil.
McGrathNicol were appointed voluntary administrators in early July, despite the sale of its infrastructure business and despite having won regulatory approvals for a potential sale of its retail business to Swiss-based commodities trader Gunvor.
But the retailer’s issues had been piling up, with network company SA Power Networks seeking a wind up order in the federal court over missed payments
Zen was established in South Australia in 2024, and was led at times by Ross Garnaut and then his son Anthony, and had carved a significant niche in the renewable retailing business, with major contracts with the state government and other entities.
