Mullen Automotive Receives Exclusive Federal Contract

Market News Daily: Mullen Automotive Receives Exclusive Federal Contract.
Market News Daily: Mullen Automotive Receives Exclusive Federal Contract.

(WSBT) Mullen Automotive (NASDAQ:MULN) will now be the exclusive provider for a new class of electric cargo vans for the federal government.

It is also set to produce three types of electric vehicles at the former AM General site in St. Joseph County.

Potential success for Mullen Automotive is ahead, according to the South Bend Chamber of Commerce.

This comes as its new site in St. Joseph County looks to begin operation within a year.

Mullen Automotive will produce a new class of electric cargo vans for government use.

While those models will not be made in St. Joseph County, three other vehicles will.

That includes the Mullen 5 which is a Tesla Model 3-like competitor, the Bullinger B1 SUV and the B2 pick-up.

All will be made at the former AM General Plant, a site that has seen attempts of EV manufacturing in the past.

South Bend Regional Chamber of Commerce President Jeff Rea says the launch of a new partnership and product reflect the company’s success in a competitive market.

“Our hope is that they’re popular, that they get some good sales and some good traction, and then ultimately that leads to further sales and further production here in Mishawaka,” said Jeff Rea, South Bend Regional Chamber President and CEO.

Related: Will MULN Stock Reach $1 Before Its September Deadline?

Mullen Automotive Electric Vehicle Battery Plant?

Market News Daily: Mullen Federal Contract News.
Market News Daily: Mullen Federal Contract News.

Rea says Mullen is also developing technology for even more vehicles that will be produced in St. Joseph County.

He believes in Mullen’s chance for long-term success, as it has a broad focus with several different models set for production.

Adding the manufacturer could become a big asset for the county as it looks to become more competitive in the EV industry.

“We’ve wanted to be part of the jobs of the future, and the fact that we’re in this conversation for a potential large electric vehicle battery plant on the west side of the county for an allogenic expansion on the west side of the county, and the EV space now, Mullen on the east side of the county really solidifies us as part of this future economy, gives us this cluster if we can even work on developing a workforce and attracting other future users,” said Rea.

Although Mullen purchased the site months ago, production in St. Joseph County for Mullen vehicles is set for late this year or early 2024.

Latest MULN Stock News

Mullen Automotive (NASDAQ:MULN) just avoided getting delisted after it failed to meet its $1 per share requirement on March 6, 2023.

Nasdaq approved a 180-day extension for Mullen Automotive to meet the minimum $1 bid price per share.

On Sept. 7, 2022, Nasdaq provided notice to the Company that, based on the previous 30 consecutive business days, the Company’s listed common stock no longer met the minimum $1 bid price per share requirement as set forth in Nasdaq Listing Rule.

The Company was provided 180 calendar days, or until March 6, 2023, to regain compliance.

If Mullen stock fails to trade above $1 for a minimum of 10 consecutive business days prior to Sept. 5, 2023, the Company will implement a reverse stock split to cure the Deficiency prior to the expiration of the additional 180-day compliance period.

In other words, it doesn’t seem like Mullen Automotive stock will get delisted.

“Consistent with my message to our shareholders, we will use our best efforts to regain compliance to meet Nasdaq’s requirement for a $1 minimum bid price,” said David Michery, CEO and chairman of Mullen Automotive.

You can read more MULN stock news here.

Market News Published Daily

Mullen Automotive Receives Exclusive Federal Contract. news.
Market News Today – Mullen Automotive Receives Exclusive Federal Contract.

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10 Comments

  1. melindadrury23

    Nice

  2. TERRY a JOHNSON

    Is it a government contract ? Or is it just that they are just able to be considered for one ?

    • Izzy

      The actual contract belongs to RRDS, a mostly DOD government contractor. All RRDS did was notify the GSA that they had included Mullen as a potential supplier in the Class 1 vehicle type category (light vehicles). Since their are no other Class 1 EV van providers out there, some in the media including youtubers and bloggers have been spinning the news as if the government specifically went out and awarded a contract to Mullen for its Class 1 EV vehicles, some going as far as saying the entire $2.7 billion RRDS contract is for Mullen’s EV vans. There are no volume or dollar figures attached to any of the press release going around because it was not award, simply an inclusion on a government contractor’s supplier list.

      • Benjamin Kotulka

        correct. Supposedly Mullen is the only able to offer class 1 level EV full electric but the contract as a whole is presented to multiple companies. Also correct, there is no set in stone monetary volume promised to any specific company as of yet.

        • Izzy

          With these gov’t contracts, it is bidding process. So Mullen gets to bid on any GSA requests for Class 1 vehicles. Mullen will be offered the opportunity to bid alongside Ford, GM, and any other manufacturers that produce Class 1 vehicles. One thing to note is that the contract does not explicitly set a fix requirement for EV’s. EV’s can be offered as an alternative whether they be SUV’s, trucks, sedans, or vans. Mullen being the only supplier that can offer a Class 1 EV van may have a slight advantage over other manufactures. But the GSA may simply pass on Mullen if their vans are not deliverable or not a fit for their intended purpose. You also have to think that many government installations do not have the necessary charging infrastructure in place yet to support an EV fleet. And don’t forget, the gov’t will not pay retail price for these vehicles and they can’t be imported from China which how Mullen up until recently had been acquiring its vans.

  3. my911e

    Big deal.
    They got a govt contract but you say nothing about volume, value, timing.
    That’s reporting?

    • Frank Nez

      There’s a ton of articles on that here — just search muln stock or mullen.

  4. Fireball RW

    They have had a lot of good news in the last 9 mos, The question is why is this stock so depressed , I hate to see them do a reverse split , as we all know reverse splits are the death of a stock , Just look at Cosm , Wiza , better yet show me a reverse split that did well. Are we all voting NO for AMC, I hope so.

    • Frank Nez

      They have had a lot of great news – wonder if all this suppression will at some point create big moving days. I don’t think anyone wants a RS..

  5. Frank Nez

    Leave your thoughts below!

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