IBJNews

EnerDel parent in danger of losing NASDAQ listing

Back to TopCommentsE-mailPrintBookmark and Share

Battery maker Ener1 could lose its listing on the NASDAQ stock exchange if it continues trading below $1 per share.

The New York parent of EnerDel, which has almost 400 employees in the Indianapolis area, told investors Friday that it had received written notice of its failure to comply with NASDAQ's listing requirements.

The bid price of Ener1's stock had closed below the minimum $1 per share for 30 consecutive business days prior to Sept. 6. The stock (HEV) closed Friday at 36 cents per share.

Ener1 shares will have to rise to or above the $1 minimum for at least 10 consecutive business days between now and March 5 to stay in compliance.

Ener1's stock-price woes began in May, after the company wrote off $73 million related to its interest in Think, the electric car company. In August, the company delayed filing its second-quarter earnings report and later said it would restate previously announced earnings. An auditor said the company's cash-flow problems could put it out of business.

On Monday, Ener1 said it had restructured $58.5 million in debt. In addition, principal shareholder BzinFin S.A., the company backed by Russian businessman Boris Zingarevich, has extended the maturity date on a $15 million line of credit from November 2011 to July 2013.

"We're pleased with the confidence placed in us by our investors, since these agreements give us greater flexibility to achieve our business goals," Chairman and CEO Charles Gassenheimer said in a written statement.

Should Ener1 fail to meet NASDAQ’s 10-day demand, its stock would be relegated to penny-stock status on the over-the-counter bulletin board or the pink sheets. Once that happens, shares are harder to buy and sell.

 

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. I'm sure Indiana is paradise for the wealthy and affluent, but what about the rest of us? Over the last 40 years, conservatives and the business elite have run this country (and state)into the ground. The pendulum will swing back as more moderate voters get tired of Reaganomics and regressive social policies. Add to that the wave of minority voters coming up in the next 10 to 15 years and things will get better. unfortunately we have to suffer through 10 more years of gerrymandered districts and dispropionate representation.

  2. Funny thing....rich people telling poor people how bad the other rich people are wanting to cut benefits/school etc and that they should vote for those rich people that just did it. Just saying..............

  3. Good try, Mr. Irwin, but I think we all know the primary motivation for pursuing legal action against the BMV is the HUGE FEES you and your firm expect to receive from the same people you claim to be helping ~ taxpayers! Almost all class action lawsuits end up with the victim receiving a pittance and the lawyers receiving a windfall.

  4. Fix the home life. We're not paying for your child to color, learn letters, numbers and possible self control. YOU raise your children...figure it out! We did. Then they'll do fine in elementary school. Weed out the idiots in public schools, send them well behaved kids (no one expects perfection) and watch what happens! Oh, and pray. A mom.

  5. To clarify, the system Cincinnati building is just a streetcar line which is the cheapest option for rail when you consider light rail (Denver, Portland, and Seattle.) The system (streetcar) that Cincy is building is for a downtown, not a city wide thing. With that said, I think the bus plan make sense and something I shouted to the rooftops about. Most cities with low density and low finances will opt for BRT as it makes more financial and logistical sense. If that route grows and finances are in place, then converting the line to a light rail system is easy as you already have the protected lanes in place. I do think however that Indy should build a streetcar system to connect different areas of downtown. This is the same thing that Tucson, Cincy, Kenosha WI, Portland, and Seattle have done. This allows for easy connections to downtown POI, and allows for more dense growth. Connecting the stadiums to the zoo, convention center, future transit center, and the mall would be one streetcar line that makes sense.

ADVERTISEMENT