Mullen Automotive (NASDAQ:MULN) stock is in full focus after the company announced that it would hold a commercial electric vehicle (EV) launch event on Aug. 24 to commemorate the production launch of its Class 3 EVs. The event will take place at Mullen’s commercial assembly plant in Tunica, Mississippi which boasts over 120,000 square feet of space and sits on 100-plus acres of land. The plant is able to produce Class 1 vehicles as well as Class 3 vehicles.
“Select media, customers, dealers, vehicle upfitters, suppliers and local leadership” will be able to attend the event. At the event, Mullen will provide company presentations, factory tours, vehicle demonstrations and ride and drive services.
“We are now in the final stages of vehicle production readiness and look forward to customer deliveries,” said CEO and Chairman David Michery. “We are excited to open up the Tunica assembly plant for tours and vehicle demonstrations.”
MULN Stock: Mullen to Hold Commercial EV Launch Event on Aug. 24
Back in May, Mullen announced that Class 3 production would start in July. This would be followed by deliveries and revenue collection in August and September. Mullen also disclosed that it partnered with NRTC Integration to assist with the assembly line installation and integration phases of production.
At the same time, production is a costly process. The company’s production expenses include automated guided vehicles, a water test booth, end-of-line diagnostics and the addition of 35 plant employees.
As of May, Mullen had received a $63 million purchase order for 1,000 Class 3 vehicles from Randy Marion Automotive Group (RMA). Deliveries for this order are set to begin in August and conclude by the first quarter of 2024.
Mullen’s Class 3 vehicle, called the THREE, carries a starting price tag of $68,500 and a range of 130 miles. The THREE is eligible for a $7,500 federal tax credit, which would take down the price to $61,000. “There are also various state incentives, such as the California HVIP program, which offers up to $45,000 incentive for commercial Class 3 products like the Mullen THREE EV Cab Chassis Truck,” added Mullen.
Including its Class 1 vehicle, RMA has placed a total of $279 million in purchase orders. Mullen’s upcoming earnings will be interesting to see, as the company will finally report revenue.
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.
