Founded in Florida in 1985, Ener1, Inc. (“Ener1”) was headquartered in New York, New York with offices in Indiana and Florida in 2010 and 2011. Ener1 was involved in the research and development of lithium-ion batteries with a primary focus on batteries for hybrid electric vehicles (“HEV”), electric vehicles (“EV”) and plug-in hybrid electric vehicles (“PHEV”). Leading up to 2010, Ener1 was involved in several acquisitions, including the majority interest in Delphi Corporation (“Delphi”) in Indianapolis, Indiana in 2004 and Enertech International, Inc. in Korea in 2009 which expanded Ener1’s production capabilities. (Ener1 Inc., 2010)
In August 2009, Ener1 was awarded a grant of $118.5 million from the U.S. Department of Energy (“DOE”) for equipment purchases with the caveat that for each dollar reimbursed with grant funds, Ener1 had to match it with its own funds. This grant was awarded to assist with the acquisition of plant and equipment to expand Ener1’s production capabilities. Additionally, Ener1 applied for a long-term loan under the “Advanced Technology Vehicle Manufacturing Incentives Program” through the DOE. This loan would require Ener1 to expend $0.20 of its own money for every $0.80 spent from the loan proceeds. As of the filing of Ener1’s 2010 Form 10-K, the loan had not …show more content…
Ener1 noted Think Global had already been through three separate insolvency proceedings, including in 2009. After the 2009 proceedings, Charles L. Gassenheimer (“Gassenheimer”), Ener1’s Chief Executive Officer, became a Think Director and subsequently Think’s Board Chairman in 2010. (SEC, p.