Share prices for alternative energy company Ener1 (OTCBB: ENEI) edged up 4.71 percent this morning, thanks largely in part to the recent announcement that the company had received a $15 million equity commitment.According to the press release, Ener1’s leading shareholder, Ener1 Group, invested the $15 million through the purchase of newly issued shares of common stock. The company plans on using the $15 million to further its development of commercially available lithium ion batteries for hybrid electric vehicles and the product launch of its fuel cell-powered surveillance camera.
Subhash Dhar, Ener1’s president, was glad that the company managed to gain the money they needed to continue their research.
“Our success in the coming months will be measured by the delivery of production design prototypes and products in the battery and fuel cell business,” Dhar said. “These milestones are targets that we firmly believe we can achieve within the same time period. Furthermore, this funding will be a clear signal to our prospective customers and industry partners that we have the financial strength to deliver products in these large emerging markets.”
Dhar wasn’t the only one in the company who had kind words to say about the funding. Charles Cassenheimer, the Vice Chairman, said “This tremendous commitment from Ener1 Group will allow Ener1 to gain ground in the development of the lithium ion battery for [hybrid electric vehicles]. It will also provide the funding to launch the surveillance camera product, which we expect to be very successful.
“This large financing commitment will allow us to focus on improving shareholder value through [the] development of our business,” Cassenheimer added.
Share prices for Ener1 went from 21 cents at market open to 22 cents by mid-morning.