In March of 2022, CEO David Michery teased that Mullen Automotive (NASDAQ:MULN) would receive an order for its electric cargo vans from a “major, major Fortune 500 company” during the second quarter of that year. The announcement was made during an interview with Benzinga. Michery went on to explain that “everything” about the deal, such as order size and delivery timelines, would be disclosed via a press release by the end of Q2. He also noted that the customer had initiated a pilot program for the van and was “pleased” with the results.
However, Q1 of 2023 is about to end, and there is still no word of the Fortune 500 customer. And MULN stock is down about 65% YTD. So, understandably, the lack of the update has left investors pondering: “Where and who is Mullen’s major Fortune 500 customer?”
MULN Stock: Where is Mullen’s Fortune 500 Customer?
In June of 2022, Mullen announced that it had delivered a pilot program van to a “telecommunications provider in the Southeastern part of the U.S. on May 12.” The telecommunications provider requested modifications, to which Mullen responded by picking up the vehicle to work on the changes “in anticipation of a vehicle purchase order.” Still, the announcement did not mention any Fortune 500 company. Mullen’s VP of marketing also stated that the modified vehicles would be returned to the customer in August.
Yet, there is still no announcement from this supposed Fortune 500 customer. Because of this, it appears that the potential customer may have found problems with Mullen’s modifications, or it just wasn’t satisfied with the pilot program’s results. On the bright side, Mullen could possibly deliver its vans to another customer if all goes well. The electric vehicle (EV) company also previously announced a 6,000-unit purchase order worth $200 million for its Class 1 EV cargo vans from Randy Marion Isuzu.
On Feb. 2, Mullen announced that it had entered into a 60-day pilot program with Menzies Aviation for its Class EV cargo van. Menzies will test out the vans at Los Angeles International Airport in use cases such as transporting cleaning crews to airplanes. If the agreement between the two parties was made on Feb. 2, then MULN shareholders should expect to hear an update by April 3.
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.