Liberty Power Files Chapter 11 Bankruptcy After Texas Freeze (1)

Liberty Power Holdings, an electricity retailer with customers in 14 states and Washington DC, filed for bankruptcy in Florida after a record-setting mid-February freeze in Texas produced crippling losses from price spikes.

The move comes after Liberty’s parent -- Liberty Power Corp LLC -- on Sunday unexpectedly fired all of its more than 80 employees. The now-bankrupt subsidiary relied on its parent to operate the business, so the firings put “the entire business operation and going concern value of the debtor in serious jeopardy,” Chief Restructuring Officer Bob Butler wrote in a court declaration.

Liberty Power Holdings said ...