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Mullen Automotive launches bizEV lease for EV cargo van

EditorNatashya Angelica
Published 02/08/2024, 14:38
MULN
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BREA, Calif. - Mullen Automotive, Inc. (NASDAQ:MULN), an electric vehicle manufacturer, has unveiled a new lease program called bizEV for its Mullen ONE, a Class 1 electric cargo van. The program is aimed at individual buyers, small businesses, and fleets, offering a 3-year lease starting at $475 per month, not including taxes and fees. This lease option also includes scheduled vehicle maintenance.

The bizEV program is designed to provide a cost-effective and flexible solution for those looking to transition to electric vehicles (EVs) without the burden of high upfront costs. Mullen's initiative is part of its broader mission to accelerate the adoption of sustainable transportation by making commercial electric vehicle ownership more accessible.

The Mullen ONE is marketed as the first Class 1 commercial electric vehicle in the U.S., built to cater to urban delivery needs with its compact design and ample cargo space. The vehicle is available for sale with an MSRP of $34,500 and can be ordered through MullenUSA.com or authorized dealerships.

Mullen's CEO, David Michery, emphasized the company's commitment to removing the traditional barriers faced by business owners when considering EVs. He stated that the flexible lease options are intended to make Mullen's commercial EVs available to a broader customer base.

The Mullen ONE complies with U.S. Federal Motor Vehicle Safety Standards and has received certifications from the Environmental Protection Agency and the California Air Resources Board (CARB), ensuring adherence to clean air emissions standards.

This announcement follows Mullen's recent production commencement of commercial vehicles in Tunica, Mississippi, in August 2023 and the approval for federal EV tax credits in September 2023. The Mullen ONE and Mullen THREE, a Class 3 EV cab chassis truck, are both CARB and EPA certified as of January 2024.

Mullen has also expanded its commercial dealer network, adding several groups to provide sales and service coverage across the U.S. Moreover, the company's Tunica manufacturing center has been granted Foreign Trade Zone status, offering benefits such as duty deferment and elimination on exported vehicles.

The information for this article is based on a press release statement from Mullen Automotive, Inc.

In other recent news, Mullen Automotive has made significant strides in the electric vehicle (EV) market. The company has incorporated four Mullen CAMPUS electric cargo vans into DB Schenker's operations on the Intel (NASDAQ:INTC) technology campus, aligning with DB Schenker's sustainability goals. Mullen Automotive also secured a $304,000 order for 29 units of the Mullen GO, a commercial micro urban delivery vehicle, from international distributor GAMA (LON:GAMA).

In addition, Mullen Automotive has announced a purchase by the City of Dublin, Ohio, for its Class 3 electric truck, the Mullen THREE, aligning with Dublin's commitment to sustainable solutions. The company has also launched the POWER BOOST program, allowing customers to upgrade their lithium-ion battery packs to solid-state polymer battery packs for their Class 1 EV cargo vans.

Bollinger Motors, a subsidiary of Mullen Automotive, announced comprehensive warranty coverage for its upcoming Bollinger B4 Chassis Cab, an all-electric Class 4 commercial truck. The company has also undergone a leadership transition, appointing former General Motors (NYSE:GM) executive James Taylor as CEO. Bollinger Motors has received EPA certification for the B4 Chassis Cab and secured a deal to supply Momentum with 80 of these trucks.

These recent developments highlight the companies' continuous efforts towards innovative and sustainable transportation solutions.

InvestingPro Insights

Mullen Automotive, Inc. (NASDAQ:MULN) is navigating the electric vehicle market with strategic moves like the launch of its bizEV lease program for the Mullen ONE electric cargo van. As Mullen aims to make its mark in the sustainable transportation sector, financial metrics and market performance provide a context for understanding the company's current standing.

According to InvestingPro data, Mullen Automotive holds a modest market capitalization of $16.19 million USD. The company's Price / Book ratio, as of the last twelve months leading up to Q2 2024, stands at 0.17, indicating that the stock may be trading at a low multiple compared to the company's book value. This aligns with one of the InvestingPro Tips, which suggests that Mullen is trading at a low Price / Book multiple.

However, Mullen's financial health shows some areas of concern. The company's gross profit margin for the same period is significantly negative at -501.56%, reflecting costs exceeding revenues, which is corroborated by another InvestingPro Tip highlighting weak gross profit margins.

Moreover, the stock has experienced a sharp decline over the past year, with a 1 Year Price Total Return of -99.08% as of the 215th day of 2024. This severe drop in stock price is echoed in the InvestingPro Tips, which note that the stock has taken a substantial hit over various time frames, including the last week, month, six months, and year.

For investors seeking a deeper analysis, InvestingPro offers additional tips on Mullen Automotive, including insights on cash burn rates and valuation multiples. In total, there are 19 InvestingPro Tips available that provide a comprehensive look at the company's financial and market performance, which can be accessed through the Mullen-specific InvestingPro page at https://www.investing.com/pro/MULN.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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