Mullen Automotive on Wednesday said it has acquired Electric Last Mile Solutions, paving the way for the California-based startup to produce its first electric vehicle.
The $240 million cash purchase gives Mullen the ability to generate up to 50,000 electric vehicles annually, accelerating the launch of the Mullen FIVE and Bollinger B1 and B2 retail vehicles. The agreement also gives Mullen control of ELMS’s inventory, intellectual property, and plant in Mishawaka, Indiana.
Mullen, which listed stock in a 2021 SPAC merger, is in growth mode, acquiring in September 60% control of Bollinger Motors, a Michigan-based startup that builds battery-powered commercial trucks and off-road pickups. Electric Last Mile Solutions, another Michigan startup, filed for bankruptcy in June, less than a year after it went public through a $1.4 billion SPAC deal.
Several startups that have succeeded in famous reverse mergers over the past few years have faced bankruptcy, SEC scrutiny or cash. The purchase of ELMS will allow Mullen to “shorten its production roadmap and aggressively expand into the commercial and consumer electric vehicle markets,” David Michery, CEO and President of Mullen Automotive, said in a statement. Father.
The automaker plans to build the Mullen FIVE, as well as the Mullen Class 1 and Class 3 commercial delivery vehicles expected next year, at its plant in Tunica, Mississippi. In addition to the Mullen FIVE slated to enter production in 2024, the company plans to build the Five RS, an “extreme performance EV sports crossover” with 1,000 hp, a top speed of 200 mph. and acceleration from 0 to 60. under two seconds.