Home > Press > Ener1 Completes $32 Million Equity Placement
Ener1, Inc. (BULLETIN BOARD: ENEI) , an alternative energy company, today announced completion of a $32 million common equity private placement with a group of six major financial institutions and an alternative energy investment trust.
Ener1 Completes $32 Million Equity Placement
FORT LAUDERDALE, FL | Posted on November 20th, 2007
The company sold 64 million shares of common stock and issued warrants to purchase 57.6 million shares of common stock at an exercise price of $0.75 per share. The warrants can be exercised for a period of 180 days following the closing. If exercised, the short-term warrants will provide an additional $43 million, for a total of $75 million of equity capital at an average price of $0.62 per share.
"This vote of confidence from some of the largest financial investors in the world solidifies our balance sheet and puts Ener1 in the game to compete for contracts with the biggest players in the automotive market," commented company chairman Charles Gassenheimer. "In particular, this makes our EnerDel battery division more competitive to win major new hybrid, plug-in hybrid and electric vehicle (HEV, PHEV and EV) contracts."
EnerDel will demonstrate a hybrid electric vehicle with a working EnerDel Lithium ion battery at the International Electric Vehicle Symposium and Exposition (EVS-23) December 2-5 in Anaheim, California (visit http://www.electricdrive.org/evs23/ ). EnerDel is also scheduled to deliver a prototype electric vehicle battery to Think Global of Norway in March 2008 under a $70 million production contract.
Transaction proceeds will be used to fund the continued development and commercialization of Ener1's alternative energy generation and energy storage businesses. The company may also use the proceeds of any warrant exercises to purchase some or all of the remaining senior secured convertible debentures, potentially eliminating up to 40 million shares of dilution.
"We believe that this transaction resolves any uncertainty about our future financing activity," commented Mr. Gassenheimer. "We have now positioned Ener1 to list on a major stock exchange and we will have normal access to the capital markets in the future."
As a follow up to the chairman's letter to shareholders last week, Ener1 is on track to present a balance sheet with positive shareholders' equity. On a pro forma basis, shareholders' equity would be a positive $38 million if the warrants were exercised; the shareholders' deficit was $(75) million in January 2006 when the current management team took over.
Stonegate Securities acted as the placement agent for the transaction.
About Ener1, Inc.
Ener1, Inc. (BULLETIN BOARD: ENEI) is an alternative energy technology company that is developing: 1) lithium ion batteries for hybrid electric vehicles (HEV) at its 80.5% owned EnerDel subsidiary through corporate ventures and strategic partnerships with Delphi, ITOCHU and EnerStruct; 2) commercial fuel cell products through its EnerFuel subsidiary; and 3) nanotechnology-based materials and manufacturing processes for batteries and other applications at its NanoEner subsidiary. For more information, visit http://www.ener1.com/ or call 954-556-4020.
Safe Harbor Statement
This release contains forward-looking statements within the meaning of the Federal Private Securities Litigation Reform Act of 1995 conveying management expectations as to the future based on plans, estimates and projections at the time the statements are made. The forward-looking statements contained in this press release involve risks and uncertainties, including, but not necessarily limited to: the Company's ability to achieve the milestones upon which the funding from its controlling shareholder is conditioned; EnerDel's ability to succeed as a supplier of batteries to the hybrid electric vehicle and other markets; Ener1's ability to successfully develop and market proposed lithium battery, fuel cell and nanotechnology-based products and services; the degree of competition in the markets for lithium battery, fuel cell and nanotechnology-based products and services; Ener1's history of operating losses; EnerFuel's ability to complete the development of and sell the surveillance camera; the lack of operating history for the development stage Ener1 businesses; the need for additional capital; the dependency upon key personnel; and other risks detailed in filings made from time to time with the Securities and Exchange Commission. These risks and uncertainties could cause actual results or performance to differ materially from any future results or performance expressed or implied in the forward-looking statements included in this release. Ener1 undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
For more information, please click here
For further details contact:
For media inquiries:
Victor Webb/Madlene Olson
Marston Webb International
Copyright © PR Newswire Association LLC.
If you have a comment, please Contact
Issuers of news releases, not 7th Wave, Inc. or Nanotechnology Now, are solely responsible for the accuracy of the content.
Ref signals deep impact as EPSRC announces £30 million for impact acceleration accounts (IAA) January 21st, 2015
Blend Therapeutics Secures $21 Million Financing and Unveils Novel Pentarin™ Platform for Cancer Therapeutics: Company’s Technology and Expertise in Cancer R&D Evolve to Create New Class of Miniaturized Biologic Drug Conjugates (mBDCs) Encapsulated in Nanoparticles January 8th, 2015
QD Vision Receives New Funding Round to Meet Growing Demand for Quantum Dot Technology: Industry Veteran Steve Ward Named Executive Chairman January 5th, 2015
Pixelligent Closes $5.5 Million in Funding: Capital Will Be Used to Support Global Customer Growth December 12th, 2014
Advantest to Exhibit at SEMICON Korea in Seoul, South Korea February 4-6 Showcasing Broad Portfolio of Semiconductor Products, Technologies and Solutions January 29th, 2015
Park Systems Announces Innovations in Bio Cell Analysis with the Launch of Park NX-Bio, the only 3-in-1 Imaging Nanoscale Tool Available for Life Science Researchers January 29th, 2015
2015 Nanonics Image Contest January 29th, 2015
Iranian Scientists Use MOFs to Eliminate Dye Pollutants January 29th, 2015
Carbon nanoballs can greatly contribute to sustainable energy supply January 27th, 2015
Visualizing interacting electrons in a molecule: Scientists at Aalto University and the University of Zurich have succeeded in directly imaging how electrons interact within a single molecule January 26th, 2015
Iranian Researchers Boost Solar Cells Efficiency Using Anti-Aggregates January 26th, 2015
Engineering self-assembling amyloid fibers January 26th, 2015
Teijin to Participate in Nano Tech 2015 January 22nd, 2015
Materials - Efficient catalysts... January 13th, 2015
Waterloo chemist one step closer to a new generation of electric car battery January 12th, 2015
New concept of fuel cell for efficiency and environment: It grasps both performance efficiency and removal of toxic heavy metal ions in direct methanol fuel cells January 5th, 2015
Battery Technology/Capacitors/Generators/Piezoelectrics/Thermoelectrics/Energy storage
'Bulletproof' battery: Kevlar membrane for safer, thinner lithium rechargeables January 28th, 2015
Toyocolor to Launch New Carbon Nanotube Materials at nano tech 2015 January 24th, 2015
Smart keyboard cleans and powers itself -- and can tell who you are January 21st, 2015
Presence of Nanoparticles in Efforts to Boost Lifetime of Super Capacitors January 20th, 2015