Below is a description , how to configure The Bat 1.39 for SMTP AUTH support.
First, Select the position "Properties" in the menu "Account"

Then, a window will appear:

Click on the "Transport" Field on the left. The Right side of the window will look like on the picture above.
Click on the "More" button.
Another window will appear:

Select "Perform SMTP Authentication (RFC 2554)" option.
Select "Use POP server Login".
Click on "OK" , the window will close , click on the "OK" button in the Preferences window and now you have working SMTP AUTH support.