Mullen Announces Moratorium on New Financings for Balance of 2023; Company Has Sufficient Capital for at Least the next 12 Months
June 21 2023 - 7:30AM
via IBN -- Mullen Automotive, Inc. (NASDAQ: MULN) (“Mullen” or the
“Company”), an emerging electric vehicle (“EV”) manufacturer,
announces today an investor financing moratorium for the balance of
2023 and that the Company has sufficient capital on hand for at
least the next 12 months. Remaining investor option expires on June
30, 2023. Company assets are unencumbered with the exception of
$7.3 million outstanding debt.
The Company continues to trade at a steep discount to its
current cash position of $135 million or $0.38 per share as of June
13, 2023. As of its most recently filed Form 10-Q on March 31,
2023, the Company’s book value was $2.08 per share.
Since March 31, 2023, the Company’s stock has declined over 95%
from $3.25 per share to $0.16 per share on June 20, 2023. The
Company's common stock trades at a discount to our cash value per
common share of $0.38 as of June 13, 2023.
Despite the decline in stock price, management believes the
Company has already met or is positioned to meet the previously
announced objectives.
As per the Company’s last reported financial position on March
31, 2023, it had $86.7 million of cash available for operations and
$0.68 of cash value per share. Mullen’s book value per share was
$2.08 on March 31, 2023. The Company has sufficient capital on hand
for at least the next 12 months.
The Company would like to highlight two completed acquisitions
that added valuable, unencumbered assets to the balance sheet
totaling $253 million for majority ownership in Bollinger Motors
and certain assets related to Electric Last Mile Solutions
(“ELMS”).
About MullenMullen Automotive (NASDAQ: MULN) is
a Southern California-based automotive company building the next
generation of electric vehicles (“EVs”) that will be manufactured
in its two United States-based assembly plants. Mullen’s EV
development portfolio includes the Mullen FIVE EV Crossover,
Mullen-GO Commercial Urban Delivery EV, Mullen Commercial Class 1-3
EVs and Bollinger Motors, which features both the B1 and B2
electric SUV trucks and Class 4-6 commercial offerings. On Sept. 7,
2022, Bollinger Motors became a majority-owned EV truck company of
Mullen Automotive, and on Dec. 1, 2022, Mullen closed on the
acquisition of Electric Last Mile Solutions’ (“ELMS”) assets,
including all IP and a 650,000-square-foot plant in Mishawaka,
Indiana.
To learn more about the Company, visit www.MullenUSA.com.
Forward-Looking StatementsCertain statements in
this press release that are not historical facts are
forward-looking statements within the meaning of Section 27A of the
Securities Exchange Act of 1934, as amended. Any statements
contained in this press release that are not statements of
historical fact may be deemed forward-looking statements. Words
such as “continue,” “will,” “may,” “could,” “should,” “expect,”
“expected,” “plans,” “intend,” “anticipate,” “believe,” “estimate,”
“predict,” “potential” and similar expressions are intended to
identify such forward-looking statements. All forward-looking
statements involve significant risks and uncertainties that could
cause actual results to differ materially from those expressed or
implied in the forward-looking statements, many of which are
generally outside the control of Mullen and are difficult to
predict. Examples of such risks and uncertainties include but are
not limited to: whether the stock will continue to decline; the
resultant impact on the Company due to the significantly diminished
stock value; whether the Company will meet its previously announced
objectives and, depending on various initiatives undertaken by the
Company, whether the Company’s current capital on hand will suffice
for the next 12 months. Additional factors that could cause actual
results to differ materially from those expressed or implied in the
forward-looking statements can be found in the most recent annual
report on Form 10-K, quarterly reports on Form 10-Q and current
reports on Form 8-K filed by Mullen with the Securities and
Exchange Commission. Mullen anticipates that subsequent events and
developments may cause its plans, intentions and expectations to
change. Mullen assumes no obligation, and it specifically disclaims
any intention or obligation, to update any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as expressly required by law. Forward-looking
statements speak only as of the date they are made and should not
be relied upon as representing Mullen’s plans and expectations as
of any subsequent date.
Contact:Mullen Automotive, Inc.+1 (714)
613-1900www.MullenUSA.com
Corporate Communications:InvestorBrandNetwork
(IBN) Los Angeles, California www.InvestorBrandNetwork.com
310.299.1717 Office Editor@InvestorBrandNetwork.com
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