Subsidiaries including the lithium ion battery manufacturer EnerDel “are not expected to be adversely impacted,” as parent Ener1 said it Thursday that it filed for Chapter 11 protection in federal bankruptcy court in New York. A “pre-packaged” plan provides for a restructuring of debt and the infusion of up to $81 million of equity funding.
“Our business plan was impacted when demand for lithium ion batteries slowed due to lower-than-expected adoption for electric passenger vehicles,” Ener1 CEO Alex Sorokin said in a release.
“Pressure was exacerbated by volatility in the debt and equity markets that further limited our borrowing ability and the loss of a major customer, Think Global, which filed for bankruptcy in June 2011, and for which we were exclusively providing commercial lithium ion battery packs,” Sorokin said.
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