|Traded as||OTC Pink: ABAT|
rechargeable lithium-ion batteries.
|Headquarters||New York City|
|Zhiguo Fu (CEO)|
|Revenue||US$ 106.22 million (2011)|
|US$ 37.84 million (2011)|
|US$ 36.71 million (2011)|
Number of employees
|Website||http://www.zqpt.com/ (This website can no longer be found)|
Advanced Battery Technologies Inc., is a business in Harbin, China, that specializes in the development of rechargeable polymer lithium-ion (PLI) batteries and electric vehicles. Advanced Battery Technologies designs rechargeable, polymer lithium-ion batteries for use in motorized electric bicycles, scooters, notebook computers and other electronic devices. The company currently manufactures electric bicycles, electric scooters, and electric sports utility vehicles. The company exports its products to Europe, the United States, and Asia.
Advanced Battery Technologies is most known for its development and manufacturing of lithium iron phosphate batteries. ABAT manufactures customized golf carts and shuttles, bicycles, buses and scooters fitted with unique lithium iron phosphate batteries. According to Market Wire, the batteries combine "high-energy chemistry with state-of-the-art polymer technology to overcome many of the shortcomings associated with other types of rechargeable batteries."
ABAT sells its product lines across the globe, mostly as generic and re-branded product. Wuxi manufactures scooters under a variety of names. In China they are manufactured, re-branded and sold for Jinan Qingqi, In Spain Wuxi sell until ABAT name through ABAT CONNECTION company, who has the preference for Europe market. Wuxi-Huina and China Flame Group. In Denmark Wuxi is re-branded as Lynx Scooters, in Russia under the Ecobahn name, in Poland under Pollana. Other distributors and re-sellers are found in The Netherlands, Slovenia, Czech Republic, Italy, Turkey, India, Singapore to name only a few and confirmed.
In December 2011 ABAT opened a state-of-the-art battery facility in Dongguan. The amount spent to buy and renovate the facility and purchase equipment was 83 million dollars.
In 2015, the Delaware Chancery Court appointed a Receiver over ABAT prompted by its failure to provide books and records to shareholders to value their shares. The Receiver, Robert W. Seiden, a lawyer and former prosecutor from New York, was appointed by Vice Chancellor Travis Laster to bring ABAT into compliance with the courts orders. The Receiver met with Mr. Fu and his CFO in the US and China, and visited the facilities of ABAT and determined that the company was essentially insolvent (as officially reported in court filings in the Delaware Chancery court).
The Receiver seized chairman Fu's US residence in Queens, New York in July 2016 in the case filed in state Supreme Court entitled Robert W Seiden Receiver for Advanced Battery Technologies Inc. - v. - Zhiguo Fu et al. The Receiver and Fu eventually have reached a settlement and have signed a final settlement agreement that results in the shareholders from the Delaware lawsuits receiving over $2 million US dollars to settle their lawsuits. The Receiver is filing a motion with the Delaware Chancery court seeking final court approval for the settlement in early December 2016. Advanced Battery Technologies was de-listed as publicly traded on December 30, 2015, because the company failed to remain current in its SEC required financial filings, such as forms Q and K. Seeking Alpha went so far as to call the stock defunct, although the company still exists. An article in the online magazine Penny Stocks Weekly in May 2016 provided the most current information available about the company's stock at that time. The article said, "This company does not file any reports and therefore there is no way to verify the number of shares that are outstanding. This means that the value of any shares held is in question, and once said value is realized, it tends to be worth less more often than it is worth more. Given the lack of available information, any further analysis of this company's share structure would be meaningless."
In March 2011 anonymous bloggers who, by their own admission, stood to gain if ABAT's stock price declined, accused the company of fraudulently misrepresenting its business interests – pointing out discrepancies between Advanced Battery Technologies filings with the Securities and Exchange Commission and China’s State Administration of Industry and Commerce, while also questioning the reliability of distributor relationships and related party transactions. Multiple articles followed in financial opinion and analysis sites. While no fraud was ever proved, and a formal rebuttal was issued, the company failed to file its third quarter 2011 financial statements and was subsequently de-listed from trading on the NASDAQ exchange.
Advanced Battery made only one formal response to the allegations against it. The Class Action suits against ABAT are being heard in the Southern District Court of New York by the Honorable Judge Colleen McMahon. Motions to dismiss the case on inadequate substance to the plaintiffs allegations have been filed by Advanced Battery and its 2 accounting firms EFP Rotenberg and Friedman/Bagell. According to Pacer.gov under case # 1:11-cv-02279 in October 2012, a "Settlement in Principle" was achieved between the parties. In late April 2013, a "Stipulation of Settlement Letter" was submitted by Pomerantz Law Firm to settle the case for $275,000 as long as ABAT will meet certain contingencies or show good faith to do so by mid-June 2013. According to the docket, on 7/18/2013, under Docket 106, Judge McMahon denied the Plaintiffs motion for leave to file a second amended complaint. Then on 7/30/2013, as a result of the parties failure to make a motion to certify a class and due to the pending settlement, Judge McMahon struck the motion under Docket entry 94 from the record without prejudice. Subsequently, on 8/19/2013, under Docket entry 108 the Plaintiffs appealed the previous decision of Docket 106 to the US Court of Appeals which is available to read under Court of Appeals Docket #: 13-3173. On 9/12/2013, under Docket entry 110, "The Court is putting this action on an expedited trial schedule. The parties must be ready for trial by December 1, 2013. All discovery must be complete by November 15, 2013. Depositions and document productions may be taken on three days' notice. The parties must apprise the Court of any discovery disputes within 24 hours so that they may be referred to Magistrate Judge Debra Freeman. No extensions will be granted. Should all of the conditions for settlement be met in the interim, the Court will entertain a motion for approval of that settlement." On 26 March 2014, the Class Action case 1:11-cv-02279 against ABAT was settled for $275,000 with $115,000 going to expenses (Pomerantz did not accept a fee for their services) and the rest to be divided up between the class which is estimated to be between 1000-1500 people. On 26 March 2014, Pomerantz made a motion to end the appeal against ABAT's auditors which was accepted by the Court. Judge McMahon ordered that the case be removed from her docket on 24 March 2014.