Electro Energy Receives Funding

Electro Energy Inc. of Danbury, Connecticut, has received funding on two government contracts to continue the manufacturing technology development of its bipolar nickel metal hydride battery for military applications.

The company received an additional scope of work and amendment to its contract with the U.S. Air Force that added approximately $1.7 million to be used over a 12-month period for bipolar NiMH batteries for aircraft.

In addition, under a new contract with the U.S. Army for approximately $848,000 covering a 12-month period, the company will direct manufacturing technology development at bipolar NiMH batteries for communication and other applications.

Martin Klein, Electro Energy’s founder, chairman and CEO, says, “This funding is significantly complimentary to the funds we have raised in our recent private placement, which we will use to go forward with the commercialization of our battery.”

The fund-raising he is referring to is a $3 million private placement and simultaneous stock-for-stock merger with MCG Diversified Inc. The combined company is operating under the name Electro Energy Inc. and will assume and execute Electro Energy’s business plan as its sole business as well as retaining its senior management team and three of its current directors.