Mullen Automotive, a Southern California-based electric vehicle (EV) manufacturer, has announced a $10 million non-dilutive debt financing from Robert Bollinger, founder of Bollinger Motors, to expedite the production and sales of the all-electric Class 4 B4 truck. This strategic funding is pivotal for Mullen Automotive as it seeks to enhance its EV production capabilities, with the B4 trucks currently being assembled by Roush Industries in Michigan, utilizing over 70% U.S.-sourced components, highlighting the company's dedication to bolstering American manufacturing and minimizing dependence on international supply chains.
The financial support from Robert Bollinger is a testament to the confidence in the Bollinger brand and its potential in the EV market. Mullen Automotive's CEO, David Michery, acknowledged Bollinger's unwavering commitment to the brand's growth. The specifics of the financing arrangement are expected to be detailed in an upcoming Form 8-K filing with the Securities and Exchange Commission (SEC), providing transparency and insight into the company's financial strategies.
This investment is set to significantly impact Mullen's operational capabilities and market expansion. The company operates two U.S.-based vehicle plants in Tunica, Mississippi, and Mishawaka, Indiana, with the Tunica facility initiating commercial vehicle production in August 2023. The Mishawaka plant, with its extensive 650,000 square feet of manufacturing space, underscores Mullen's capacity to meet the growing demand for electric vehicles.
Mullen Automotive's advancements in the EV sector have been notable, including IRS approval for federal EV tax credits on its commercial vehicles, qualifying customers for up to $7,500 in tax credits per vehicle. Furthermore, the Mullen ONE and Mullen THREE have achieved California Air Resource Board (CARB) and EPA certifications, facilitating their sale across the United States. The CARB-issued HVIP approval for the Mullen THREE introduces an additional incentive, offering up to a $45,000 cash voucher at purchase, aimed at enhancing sales and adoption in the commercial sector.
Expanding its commercial dealer network, Mullen has recently partnered with Papé Kenworth, adding to its roster of dealers that include Pritchard EV and National Auto Fleet Group, among others. This expansion ensures comprehensive sales and service coverage in crucial markets nationwide. Additionally, the Tunica manufacturing center's Foreign Trade Zone (FTZ) status approval presents strategic advantages, such as duty deferment and elimination on exported vehicles, potentially strengthening Mullen's competitiveness globally.
As the demand for commercial EVs rises, Mullen Automotive's recent financial and production milestones, supported by Robert Bollinger's investment, underscore the company's role in driving sustainable transportation solutions forward in the U.S. market.
