Ener1 Raises $14.2 Million in Private Placement.(Ener1 Battery Co.)

Electric and Hybrid Vehicles Today, March, 2005

Ft. Lauderdale, FL-based Ener1, a company that develops and markets lithium batteries and battery packs through EnerDel, Inc., its majority-owned venture with Delphi Corporation, recently announced the signing of definitive agreements for a private placement of convertible debentures and warrants for gross proceeds of $14.2 million.

According to Ener1, the debentures are being purchased by select institutional investors, led by New York City-based Satellite Strategic Finance Associates, LLC and Satellite Strategic Finance Partners, Ltd.

Ener1 said the proceeds of the financing will be used to fund corporate operations and commercialization of the company's key technologies.

Contact: Ener1, website http://www.ener1.com.

(EIN STAFF: 3/14)