Bolder Technologies Corp. (Golden, CO) reports that it is considering strategic alternatives, including the possible sale of the company. Bolder states that these alternatives include, in addition to the sale of the company, an alliance with a significant partner that would provide financing to the company. The company also said that it has retained E&Y Capital Advisors as an adviser.
Bolder Technology reported that it had started talks with several of its creditors to extend or restructure its debts. It said it will require further cost cutting and cooperation from creditors to give it more time to explore strategic alternatives.
“Given the current difficult environment for follow-on financing for companies at our stage and recognizing that the full exploitation of our Thin Metal Film (TMF) technology will require financial and other resources that are more within the capability of a larger strategic partner, we have concluded that Bolder should consider all of the potential alternatives available to us," said Roger F. Warren, chairman, president and CEO.
Warren continued, “Bolder is continuing to take steps to conserve cash resources while the company considers its strategic alternatives. On January 12th, 2001, the company announced a major restructuring which included a significant downsizing in headcount, along with plans to outsource the future manufacturing of TMF cells, and the company is pursuing further expense reductions. In addition, the company has initiated discussions with several of its creditors to extend or restructure Bolder's obligations. Further cost reductions and the cooperation of our major creditors will be required to provide time to explore strategic alternatives. Although nothing is certain at this point, we hope that our current cost cutting and ongoing discussions with creditors will give the company and its financial advisors a reasonable opportunity to identify and consider an alternative that provides the most value available to all stakeholders in the company."
He concluded, "We continue to believe that as automotive battery systems evolve to 36V or higher to support the future needs of hybrid electric vehicles, TMF technology is well positioned to play a significant role in this transition. We also submit that the emerging area of alternative power and backup power quality provides another large opportunity for TMF technology. As a result of this process, we hope to identify a partner to fully realize the potential of these huge future markets."
