Mullen Automotive accelerates growth with new financing division

Mullen Automotive's shares, listed on NASDAQ, experienced a price increase on Monday. The electric vehicle manufacturer announced the founding of Mullen Credit Corporation (MCC) to support its growing dealer network with special financing offers for vehicle inventory. MCC will operate as a wholly-owned subsidiary of Mullen Automotive and provide attractive financing options for fleet and small business customers. In addition to supporting dealers with pre-financing of inventory, MCC offers flexible repayment options that are activated post-sale of the vehicle, including interest. Mullen's product portfolio includes the Mullen ONE Class 1 Cargo Van and the Mullen THREE Class 3 Truck, which are specifically designed for urban last-mile delivery and fully comply with U.S. safety and environmental standards. The dealer network, now featuring partners such as Papé Kenworth, Pritchard EV, and National Auto Fleet Group, offers sales and maintenance services in key markets like the West Coast, Midwest, Pacific Northwest, New England, and the Mid-Atlantic region. David Michery, Chairman and CEO of Mullen, emphasized the company's growing financing needs in light of rapid growth with significantly rising sales forecasts for 2025. MCC is now expected to provide the necessary financial flexibility to support the targeted growth and expansion of market share. Furthermore, the company plans to achieve revenue of $75 million in accordance with GAAP guidelines through sales of commercial vehicles and Bollinger Motors, with an average monthly revenue of $12.5 million. In this context, a 20% reduction in workforce is planned, expected to result in savings of $5.5 million and the discontinuation of the Mullen FIVE program.