Mullen Automotive Starts Stock Buyback Program
August 17 2023 - 7:00AM
via IBN -- Mullen Automotive Inc. (NASDAQ: MULN) (“Mullen” or the
“Company”), an emerging electric vehicle (“EV”) manufacturer, today
announces the start of the Company’s $25 million stock buyback
program with the repurchase of 3.7 million shares of common stock,
which started on Aug. 16, 2023, and can continue through Dec. 31,
2023, for an aggregate of $3,626,000.
David Michery, CEO and chairman of Mullen also purchased 102,040
shares in the open market on Aug. 16, 2023, at a price of $0.9842
per share.
The Company is committed to taking all available measures to
regain compliance with the NASDAQ minimum $1.00 bid price
requirement.
NASDAQ Listing Rule 5810(c)(3)(H) states that, “If a Company
fails to meet the [Minimum Bid Price requirement], compliance is
generally achieved by meeting the requirement for a minimum of ten
consecutive business days. However, Staff may, in its discretion,
require a Company to [maintain a bid price of at least $1.00 per
share] for a period in excess of ten consecutive business days, but
generally no more than 20 consecutive business days, before
determining that the Company has demonstrated an ability to
maintain long-term compliance. In determining whether to require a
Company to meet the [minimum $1.00 bid price standard] beyond ten
business days, Staff will consider the following four factors: (i)
margin of compliance (the amount by which the [bid price is above
the $1.00 minimum standard]); (ii) trading volume (a lack of
trading volume may indicate a lack of bona fide market interest in
the security at the posted bid price); (iii) the Market Maker
montage (the number of Market Makers quoting at or above $1.00 and
the size of their quotes); and, (iv) the trend of the stock price
(is it up or down).” For further information, please visit
NASDAQ.com.
The Company was noticed by Nasdaq on March 7, 2023, which stated
in part that “If compliance cannot be demonstrated by September 5,
2023, Staff will provide written notification that the Company’s
securities will be delisted. At that time, the Company may appeal
Staff’s determination to a Hearings Panel.”
“We believe that our stock is undervalued. The Company has begun
production of our Class 3 EV with deliveries pending to customers
and a strong balance sheet allowing us to execute on our business
plan,” said David Michery, CEO and chairman of Mullen.
On July 6, 2023, the Board of Directors (the "Board") of the
Company authorized a stock buyback program, pursuant to which the
Company may, until Dec. 31, 2023, purchase up to $25 million in
shares of its outstanding common stock. The shares may be
repurchased, from time to time, in the open market or in privately
negotiated transactions depending upon market conditions and other
factors, and in accordance with applicable regulations of the
Securities and Exchange Commission (the “SEC”). The authorization
of the stock buyback program does not obligate the Company to
purchase any shares and may be terminated or amended by the Board
at any time prior to its expiration date.
For more information on Mullen Automotive or SEC public filings,
please visit the investor relations section of Mullen’s website or
SEC.gov.
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 the impact of the buyback program on the Company or
the stock performance; whether the Company will conduct additional
stock purchases; whether the Company will regain compliance with
Nasdaq’s minimum bid requirement; and if the Company fails to meet
compliance and appeals its delisting, what the outcome of such
appeal will be. 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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