Mosaic

Mosaic Sustainable Finance Corporation and four affiliated debtors filed voluntary Chapter 11 petitions on June 6, 2025 in the United States Bankruptcy Court for the Southern District of Texas.¹¹ The company had funded over $15 billion in loans supporting more than 500,000 households as a residential solar lender.¹⁵ The bankruptcy case moved from petition to confirmation in 91 days and ended with a liquidating plan that transferred loan servicing operations to Solar Servicing LLC, a subsidiary of Forbright Bank, while the loan origination business was shut down.¹⁵

Timeline

Money raised

Mosaic raised a $15 million Series B round in July 2013.¹⁰ Mosaic raised a $7 million Series A round in March 2014.¹⁰ Mosaic raised a $220 million equity financing round led by Warburg Pincus in August 2016.¹⁰ Mosaic raised a $40 million undisclosed-stage round in August 2016 with Guggenheim Securities as placement agent.¹⁰ Mosaic raised a total of $282 million across four funding rounds.¹⁰

Investors named in the sources: Warburg Pincus¹⁰, Obvious Ventures¹⁰, Core Innovation Capital¹⁰, Serious Change¹⁰, Blue Haven Initiative¹⁰, Bronze Investments¹⁰, The California Endowment¹⁰, Ben Tarbell¹⁰, Guggenheim Securities¹⁰.

What happened

Mosaic was founded in 2010 by Billy Parish and Daniel Rosen as a clean energy finance platform.¹⁰ In January 2013, Solar Mosaic launched, offering everyday Americans the chance to invest as little as $25 in specific solar projects, earning 4.5% annual returns.¹⁵ The first public offerings sold out in less than 24 hours, with over 400 investors committing $313,000.¹⁵ Mosaic shifted from peer-to-peer lending to a balance sheet lending model to support growth in the residential solar lending market.¹⁰ Mosaic provided fixed-rate loans averaging $30,000 with terms of 10-25 years and interest rates from 2.49% to 8.48%.¹⁰

Mosaic partnered with over 250 solar installers.¹⁰ In April 2016, Mosaic raised $200 million in debt to finance loans for about 5,000 installations.¹⁰ In August 2016, Mosaic raised a $220 million equity financing round led by Warburg Pincus.¹⁰ Mosaic planned to have approximately $1 billion available for solar loans by summer 2017.¹⁰ Mosaic grew into a large residential solar lender, funding over $15 billion in loans supporting more than 500,000 households.¹⁵

In 2024, residential solar installations declined 31%.¹⁵ Mosaic faced elevated interest rates and policy uncertainty.¹⁵ On June 6, 2025, Mosaic Sustainable Finance Corporation and four affiliated debtors filed voluntary Chapter 11 petitions in the United States Bankruptcy Court for the Southern District of Texas.¹¹¹³¹⁵ According to its press release dated June 6, 2025, Mosaic planned to maintain its loan servicing operation through the Chapter 11 process.¹³ Forbright Bank, an existing loan servicing customer of Mosaic and the administrative agent representing lenders in the Chapter 11 proceedings, expressed its intention to leverage its financial strength to support Mosaic's servicing operations.¹³

According to the transaction documents of KBRA-rated solar loan ABS transactions for which Mosaic is the servicer, Mosaic's bankruptcy constituted a servicer termination event.¹³ The bankruptcy court had broad authority over any contracts or agreements to which Mosaic was a party, which could prevent the trustee from appointing a successor servicer during the Chapter 11 process.¹³ KBRA monitored the situation and considered potential rating actions across its rated universe of 18 Mosaic transactions.¹³ On July 2, 2025, the Bankruptcy Court entered an order approving bidding procedures for the sale of the Debtors' assets.¹¹ On July 3, 2025, the Debtors filed their Joint Plan of Reorganization and Disclosure Statement.¹¹

On July 31, 2025, the Bankruptcy Court approved the adequacy of the Disclosure Statement.¹¹ On September 4, 2025, the Bankruptcy Court held a hearing to consider confirmation of the Plan.¹¹ On September 5, 2025, the Bankruptcy Court entered an order confirming the Plan.¹¹ On September 22, 2025, the Effective Date of the Plan occurred and the Plan was consummated.¹¹ The case moved from petition to confirmation in 91 days.¹⁵

The plan was a liquidating plan that transferred the company's loan servicing operations to Solar Servicing LLC, a wholly owned subsidiary of secured creditor Forbright Bank.¹⁵ The loan origination business was shut down.¹⁵ The General Claims Bar Date was set for October 16, 2025.¹¹ The Governmental Bar Date was set for December 3, 2025.¹¹

Legal outcomes

• filedMosaic Sustainable Finance Corporation and four affiliated debtors filed voluntary Chapter 11 petitions on June 6, 2025.¹¹¹³¹⁵
• filedThe Bankruptcy Court confirmed the Plan on September 5, 2025.¹¹
• filedThe Plan became effective on September 22, 2025.¹¹

Where the founders are now

Billy Parish and Daniel Rosen founded Mosaic in 2010.¹⁰

Sources

10. Mosaic Funding, Investors & Competitors | Multiples, multiples.vc, Sep 18, 20
11. Kroll Restructuring Administration, cases.ra.kroll.com
13. KBRA Comments on Chapter 11 Filing of Solar Mosaic, KBRA, Jun 11, 20
15. Mosaic Transfers Solar Loan Servicing in Bankruptcy, ElevenFlo, 2026-05-22

How this case file was put together

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