Case | HBS Case Collection | October 2011 (Revised November 2011)

Verengo Solar Plus!

by William A. Sahlman, Joseph B. Lassiter III and Liz Kind


In the three years since Bishop and Button purchased Verengo in a leveraged buyout (LBO), the company had gone through dramatic changes. Initially a residential windows and insulation firm, after the economic recession of 2008 the company switched gears and began offering solar installations to local residential customers. Aided by favorable regulatory changes and a consumer financing partnership, Verengo's solar business took off and became the company's primary focus. By the end of 2010, Verengo had grown to $27 million in revenue and was the largest solar integrator in Southern California. In December 2010, Verengo raised $9.7 million in growth equity funding and was considering its options for future growth. Eager to expand to markets outside of Southern California, Bishop and Button knew that they had to carefully assess the firm's many opportunities and tightly manage its growth.

Keywords: Venture Capital; Private Equity; Growth Management; Restructuring; Renewable Energy; Corporate Entrepreneurship; Corporate Finance; Product Development; Energy Industry; California;


Sahlman, William A., Joseph B. Lassiter III, and Liz Kind. "Verengo Solar Plus!" Harvard Business School Case 812-049, October 2011. (Revised November 2011.)