Researchers at Ener1 Inc. (Fort Lauderdale, FL), a developer of lithium batteries and fuel cells, announced that its board of directors has authorized a plan to spin-off the common stock of its three primary alternative energy subsidiaries to the Ener1 stockholders. The Ener1 board believes that EnerDel Inc., NanoEner Inc., and EnerFuel Inc. has made significant progress in developing their technologies and business strategies such that each of these companies could successfully achieve its business plan as a stand-alone company. The company's board has instructed senior management to implement the proposed plan to spin-off Ener1's interest in EnerDel, NanoEner, and EnerFuel.
The spin-off of the Ener1 subsidiaries will be subject to the receipt of applicable regulatory and third-party approvals and adequate financing, which Ener1 may seek in the public or private equity or debt markets. If the company is able to satisfy the conditions, it anticipates that the board would declare a dividend to distribute the stock of its three operating subsidiaries within the next six months. As a result of the distribution by Ener1 to its shareholders, EnerDel, NanoEner, and EnerFuel would each become a public reporting company under federal securities laws. In this regard, the company will adjust the capitalizations and the number of outstanding shares of each spun off company so that each will have the ability to more easily qualify for listing at appropriate exchanges.
Ener1 CEO Kevin Fitzgerald said, "Our three operations -- EnerDel, NanoEner, and EnerFuel -- are alike in that they all concentrate on renewable power sources and related technologies. But they need to go in different directions now. They need to have access to capital and to be able to find strategic partners who can maximize the potential of their technologies. We believe the best way to accomplish this is to spin off the three 'pure plays' to the existing shareholders, subject to ensuring that each company is adequately capitalized. We believe all three companies will have excellent management teams, comprised in part by Ener1 executives, who will stand them in good stead."
