The company feels that the stock is highly undervalued and is now trading at a large discount to its $235 million cash position. Buyback is permitted until December 31, 2023.
The Board of Directors of Mullen Automotive, Inc., a startup producer of electric vehicles (EVs), has approved a stock buyback programme, allowing the company to buy back up to $25 million worth of its outstanding ordinary stock until December 31, 2023. Depending on market conditions and other variables, and in compliance with applicable Securities and Exchange Commission (SEC) requirements, the shares may occasionally be repurchased on the open market or in privately negotiated transactions. The Board may terminate or modify the authorization of the stock buyback programme at any time before it expires, and the Company is not obligated to buy any shares during such period.
“We are initiating this buyback program as an attractive opportunity to deploy capital and return value to our shareholders,” said David Michery, CEO and chairman of Mullen Automotive.
The next generation of EVs will be produced in Mullen Automotive’s two American assembly facilities, which are located in Southern California. The Mullen FIVE EV Crossover, Mullen-GO Commercial Urban Delivery EV, Mullen Commercial Class 1-3 EVs, and Bollinger Motors, which offers both the B1 and B2 electric SUV trucks and Class 4-6 commercial options, are all part of Mullen’s EV development portfolio. On September 7, 2022, Mullen Automotive acquired the majority of Bollinger Motors, an electric vehicle truck manufacturer. On December 1, 2022, Mullen completed the acquisition of Electric Last Mile Solutions’ (ELMS) assets, which included all intellectual property and a 650,000-square-foot facility in Mishawaka, Indiana.
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