SunPower has raised $26.2 million in an equity private placement, with the majority of the financing coming from venture investors associated with Silicon Valley’s Sand Hill Road. The round was anchored by Foris Ventures, the family office of John Doerr, Chairman of Kleiner Perkins.
SunPower plans to use the new capital to support growth as the solar technology, services and installation company works to return to profitability following a difficult period for the residential solar market.
CEO T.J. Rodgers said SunPower’s share price has recently traded below $1 amid a broader solar industry reset following the loss of the Investment Tax Credit and operational challenges in the company’s SunPower Direct division during the second quarter of 2026.
SunPower has reassigned responsibility for that division to Kapil Rai, whom Rodgers described as the company’s most experienced profit-and-loss manager, as it works to improve execution.
The company believes the equity financing provides growth capital at a point when management expects operating performance to improve.
SunPower currently generates approximately $300 million in revenue, while Rodgers said the company’s market capitalization was approximately $60 million at the time of the investor presentations.
Management is targeting approximately $500 million in revenue next year while growing profitably, positioning the latest financing around the potential for a significant operational recovery.
SunPower is also pointing to the long-term opportunity in the U.S. residential solar market.
The company cited U.S. Energy Information Administration data estimating the residential solar market at approximately $7 billion, with only about 6% of solar-capable U.S. homes having installed solar as of 2026.
SunPower also cited an EIA forecast suggesting solar penetration could reach approximately 30% by 2030.
Management believes those projections may not fully capture additional electricity demand and potential energy-price pressures created by the rapid expansion of artificial intelligence infrastructure.
Rodgers said SunPower presented its investment case directly to venture capital investors on Sand Hill Road, emphasizing the company’s current valuation, expected revenue growth, established public-market status and exposure to a large underpenetrated solar market.
The company said it received initial verbal commitments for the majority of the $26.2 million financing on the day of those presentations.
SunPower also outlined several illustrative return scenarios that management used during the fundraising process.
Using an estimated presentation price of $0.30 per share, the company calculated potential return multiples ranging from approximately 4x to 11.4x under different valuation and share-price assumptions.
Those scenarios included reaching a 0.72 price-to-sales ratio, returning to SunPower’s 52-week high of $2.27 per share, achieving a portion of the gains associated with the 2017 Enphase turnaround and reaching an analyst price target of $3.30 per share.
The company emphasized that those figures are estimates rather than guarantees and depend on future operating performance, market conditions and SunPower’s ability to execute its turnaround and growth plans.
“I want to thank all the investors who participated in this round. Today, SPWR’s share price hovers under $1 due to the solar market reset caused by the loss of the Investment Tax Credit (ITC) combined with the Q2’26 misexecution of our SunPower Direct Division, which has been reassigned to our most experienced P&L manager, Kapil Rai, and will soon be back to normal. SunPower plans to return to profitability shortly and needs to raise growth capital. This situation offers investors a low-priced equity with a potential 4x to 11x ROI multiple calculated four different ways, a scenario much akin to a venture capital round.
So, I took the 10-minute drive to Silicon Valley’s Sand Hill Road for a day of presentations to VCs that consisted of five points: 1) SunPower’s revenue is $300 million but the company is valued at just $60 million (just 0.20x sales). 2) SunPower plans to grow profitably next year to $500 million, but unlike a typical venture start-up, has its product-development and IPO risks behind it. 3) According to the U.S. Energy Information Agency (EIA), the Company serves an underpenetrated $7 billion residential solar market in which only 6% of solar-capable U.S. homes have even installed solar as of 2026. 4) The EIA further forecasts solar industry growth to 30% market penetration by 2030, and finally, 5) those EIA figures do not yet account for the expected Artificial Intelligence electricity price increases. In other words, we’ve got an iconic solar company about to turn profitable in a large and growing solar market.
Based on the presentations described above, we received initial verbal commitments that day for the majority of the $26.2 million in new cash investments.”
