Mullen Automotive (NASDAQ:MULN) stock is back in focus today after the company hired former General Motors (NYSE:GM) executive John Schwegman as its Chief Commercial Officer (CCO). Schwegman spent 35 years at GM and oversaw commercial product lines, core brands and Chevrolet’s electric vehicle (EV) efforts. The executive also “led global teams across four continents” during his tenure.
Schwegman added the following about the news:
“After an exciting career with GM, I decided to look further into the overall EV landscape. I was impressed with Mullen’s strategic approach, including the portfolio, the plants, and Mullen’s speed to market. Mullen’s strategy, combined with my experience in commercial vehicles and strong relationship with fleets and dealers, will allow us to build a very competitive commercial EV story.”
Here’s what investors should know about MULN stock moving forward.
MULN Stock: Mullen Hires Former GM Executive as CCO
As CCO, Schwegman will focus on sales opportunities and the growth of Mullen’s Class 1 through Class 6 light- and medium-duty trucks. Mullen’s commercial portfolio currently consists of its proprietary Class 1 and 2 EV cargo vans. Its majority stake in Bollinger includes Class 3 through Class 6 commercial vehicles as well. CEO David Michery characterized the addition of Schwegman as “highly strategic.”
This morning, Mullen also filed a new supplemental prospectus in relation to the resale of up to 900 million shares. The prospectus corrected errors in the original Form S-3 concerning the number of shares that specific shareholders can sell. The resale figure of 900 million shares remained unchanged and Esousa Holdings is still the largest eligible seller of up to 325.28 million shares.
Mullen released new details this week about its $92 million acquisition of bankrupt Electric Last Mile Solutions (OTCMKTS:ELMSQ) as well. Notably, Mullen will take over the company’s facility in Indiana, which has a production capacity of 50,000 vehicles per year. The acquisition will also speed up the launch of Bollinger’s B1 SUV and B2 vehicles by “12-plus months.”
In addition to this, Mullen will move production of the upcoming FIVE SUV Crossover to the new facility. The FIVE has a starting price of $55,000 and will be available for test drives on Mullen’s “Strikingly Different” tour. The tour will kick off on Oct. 27 in Pasadena, California before moving on to Las Vegas, Nevada on Nov. 10. Reservation holders of the FIVE, which requires a $100 refundable deposit, will get first access to the test drives. Production of the EV is set to begin in 2024.
On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
