BREA, Calif. – Mullen Automotive, Inc. (NASDAQ: NASDAQ:), an electric vehicle manufacturer, announced a collaboration with Emerald Transportation Solutions to develop a refrigerated upfit for the Mullen THREE, a Class 3 all-electric truck. The upfit, designed for the transport of perishable goods, is expected to serve the growing demand for home delivery, frozen food, grocery, and beverage transportation.
Emerald, with over 55 years of experience in commercial vehicle upfitting, will work alongside the Papé Group to tailor the Mullen THREE for refrigeration applications. The Mullen THREE’s versatile chassis allows for easy upfitting with bodies up to 14 feet and a payload exceeding 5,300 lbs.
David Michery, CEO and chairman of Mullen Automotive, expressed that this partnership aligns with the company’s commitment to sustainable and efficient business transportation solutions. The Mullen THREE, along with the Class 1 EV cargo van Mullen ONE, is part of the company’s commercial EV lineup, both of which are available for sale and comply with U.S. Federal Motor Vehicle Safety Standards and have EPA and CARB certifications.
The Mullen THREE has recently qualified for a $15,000 incentive through the State of Massachusetts MOR-EV program and a $45,000 cash rebate voucher through the California HVIP. The Mullen ONE also qualifies for a MOR-EV program rebate in Massachusetts, and when combined with the Federal Tax Incentive, offers significant savings for commercial fleet customers.
Mullen’s commercial dealer network has expanded to seven dealers, including the Papé Kenworth, providing coverage in key markets across the U.S. The company’s commercial vehicle production began in Tunica, Mississippi, in August 2023, and they have also been granted Foreign Trade Zone status for their manufacturing center, which offers benefits such as duty deferment and elimination on exported vehicles.
This press release statement includes forward-looking statements, such as the potential success of the reefer upfit for the Mullen THREE and the impact of government incentives on vehicle pricing. These statements are subject to risks and uncertainties that could affect actual results.
For more information on the Papé-Emerald Mullen THREE Reefer, interested parties can contact the Papé EV Team. Further details about Mullen’s upfitting solutions can be found on the Mullen Commercial website.
In other recent news, Mullen Automotive, an electric vehicle manufacturer, has made significant progress in its operations. The company has partnered with National Auto Fleet Group to distribute its Bollinger B4 electric commercial trucks to government agencies. Furthermore, Mullen’s Bollinger B4 electric trucks are now eligible for the New York Truck Voucher Incentive Program, offering up to a $100,000 cash voucher.
Mullen’s Class 1 EV cargo van, the Mullen ONE, is now available for rental on Turo, a car-sharing marketplace, as part of a pilot program in Jacksonville, Florida. Additionally, Bollinger Motors, a subsidiary of Mullen Automotive, has delivered three Bollinger B4 electric trucks to TEC Equipment, marking a significant step in establishing its presence on the West Coast.
Mullen Automotive has received $10 million in debt financing from Robert Bollinger, the founder of Bollinger Motors, to accelerate the production and distribution of the Bollinger B4. The company has also settled approximately $4.5 million in secured promissory notes through the issuance of 340,000 shares of its common stock.
The company has expanded its commercial dealer network by adding Papé Kenworth and has secured substantial orders from Papé Kenworth and Volt Mobility, totaling $3.2 million and $210 million respectively. These recent developments mark Mullen Automotive’s successful transition from pre-revenue product development to revenue generation.
InvestingPro Insights
As Mullen Automotive (NASDAQ: MULN) ventures into the refrigerated electric vehicle market with its Mullen THREE, investors should consider some key financial metrics and insights from InvestingPro.
According to InvestingPro data, Mullen’s market capitalization stands at $25.33 million, reflecting its current position as a small-cap player in the competitive EV industry. This aligns with an InvestingPro Tip noting that Mullen is a “niche player in the industry,” which could potentially benefit the company as it targets specific markets like refrigerated transport.
However, investors should be aware of some financial challenges. An InvestingPro Tip highlights that Mullen is “quickly burning through cash,” which is crucial information given the capital-intensive nature of EV development and production. This is further underscored by the company’s revenue of just $0.16 million in the last twelve months as of Q3 2023, with a concerning revenue growth decline of -49.17% over the same period.
Despite these challenges, Mullen’s stock has shown a “significant return over the last week,” as noted by another InvestingPro Tip. This recent positive momentum could be related to announcements like the collaboration with Emerald Transportation Solutions, which may have piqued investor interest.
For those seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for Mullen Automotive, providing a deeper understanding of the company’s financial health and market position.
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