IBJNews

NASDAQ set to remove EnerDel parent from exchange

Back to TopCommentsE-mailPrintBookmark and Share

Ener1 Inc., the struggling parent of Indianapolis-based advanced-battery maker EnerDel, is being booted from the NASDAQ stock exchange, according to a public filing by the company.

New York-based Ener1 said in a filing Tuesday with the Securities and Exchange Commission that it would be suspended from the exchange starting Thursday due to non-compliance with filing requirements. Ener1 said it did not plan to appeal the suspension and would be permanently removed from the exchange.

EnerDel employed about 350 people in the Indianapolis area at the beginning of the year. The division produces lithium-ion batteries used for hybrid cars—mostly the Think—and for power-grid storage.

A delisting will relegate Ener1 shares to penny-stock status on the over-the-counter bulletin board. Once that happens, shares are more difficult to buy and sell.

According to the SEC filing, Ener1 failed to meet an Oct. 17 deadline to file a quarterly report for the period ended June 30. In addition, the company said NASDAQ determined that Ener1 violated shareholder approval requirements in amending a line of credit.

Ener1 already was in danger of losing its NASDAQ listing because its stock price has not met the $1-per-share minimum price requirement to trade on the exchange since July. NASDAQ warned the company in September that it was not meeting listing requirements.

Ener1’s shares tumbled from more than $4 a share in January, when Vice President Joe Biden visited EnerDel’s Greenfield battery plant, to less than a dollar in a matter of months. Shares traded at 20 cents each Wednesday morning, down 6 cents since Tuesday’s close.

The company has experienced a series of setbacks this year. Most recently, several lawsuits have been filed, claiming the company misled investors about its financial condition.

Investors began filing the suits in August, days after Ener1 said it would restate earnings for 2010 and for the first quarter of this year. Ener1’s 2010 financial loss of $69 million eventually was restated to a loss of $165 million.

Ener1’s auditors said in an August SEC filing that there were growing cash-flow concerns regarding the company and doubts about its ability to continue operations.

EnerDel was formed in Indiana in 2004 when Ener1 began acquiring the lithiom-ion battery operations of Delphi Corp. Ener1 has attracted millions in federal grants and state and local tax incentives, based on its technology and growth plans.     

It previously received a $118.5 million U.S. Department of Energy grant and has applied for $290 million in federal loan guarantees.
 

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 never thought I'd see the day when a Republican Mayor would lead the charge in attempting to raise every tax we have to pay. Now it's income taxes and property taxes that Ballard wants to increase. And to pay for a pre-K program? Many studies have shown that pre-K offer no long-term educational benefits whatsoever. And Ballard is pitching it as a way of fighting crime? Who is he kidding? It's about government provided day care. It's a shame that we elected a Republican who has turned out to be a huge big spending, big taxing, big borrowing liberal Democrat.

  2. Why do we blame the unions? They did not create the 11 different school districts that are the root of the problem.

  3. I was just watching an AOW race from cleveland in 1997...in addition to the 65K for the race, there were more people in boats watching that race from the lake than were IndyCar fans watching the 2014 IndyCar season finale in the Fontana grandstands. Just sayin...That's some resurgence modern IndyCar has going. Almost profitable, nobody in the grandstands and TV ratings dropping 61% at some tracks in the series. Business model..."CRAZY" as said by a NASCAR track general manager. Yup, this thing is purring like a cat! Sponsors...send them your cash, pronto!!! LOL, not a chance.

  4. 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.

  5. 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..............

ADVERTISEMENT