Company to recognize revenue under the agreement in fiscal quarter 1, commencing Oct. 1, 2024
UAE-based Volt Mobility Recently Agreed to Purchase 3,000 Class 1 and 3 EV Cargo Vans and Trucks
BREA, Calif., Sept. 04, 2024 – via IBN – Mullen Automotive, Inc. (NASDAQ: MULN) (“Mullen” or the “Company”), an electric vehicle (“EV”) manufacturer, announces today the shipment of initial vehicles under a significant $210 million purchase contract with Volt Mobility (“Volt”), based in the United Arab Emirates (“UAE”). Mullen to recognize revenue under the agreement in fiscal quarter 1, beginning on Oct. 1, 2024.
The agreement is for Volt to purchase 3,000 Mullen Class 1 and Class 3 EV cargo vans and trucks over a 16-month period. Mullen shipped the initial commitment of commercial EV cargo vans and trucks on September 2, 2024. The initial shipment of vehicles represents the first phase of the multi-vehicle agreement between Mullen and Volt Mobility with the planned shipment of 300 vehicles in CY 2024.
The contract includes a $3 million initial deposit, as referenced in the Company announcement from Aug. 26, 2024, and as part of the program initiation with additional payments expected as the vehicles are shipped.
Volt intends to lease these vehicles to its corporate customers based in the Middle East and Gulf States. Current Volt clients include UPS, DHL and FedEx throughout the Gulf Cooperation Council (“GCC”) region, which includes Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates (UAE).
Volt’s vehicle order is being assembled at Mullen’s Tunica, Mississippi-based Commercial Vehicle Facility, which is capable of producing 20,000 Class 1 and 6,000 Class 3 vehicles annually with two production shifts.
Founded in 2020, Volt quickly established itself as one of the largest and most influential commercial EV leasing companies in the region. Volt’s vehicle portfolio includes 17 models with focus on light, medium and heavy-duty electric vehicles. Volt leases vehicles to corporate customers providing first to last-mile delivery for fast moving goods and provides heavy duty trucks for shuttling service across the region, serving clients including large transport businesses under a long-term secured leasing model.
“We’re happy to announce we have shipped the first vehicles under our contract with Volt. Our team from Mullen will meet the vehicles in Dubai to support the launch with Volt,” said David Michery, CEO and chairman of Mullen Automotive. “Following our expansion in Europe, this partnership marks another major milestone as we continue to grow our commercial EV business globally and deliver sustainable transportation solutions to customers worldwide.”
Mullen’s commercial EV lineup includes the Mullen ONE Class 1 EV cargo van, the Mullen THREE Class 3 EV cab chassis truck, and the Bollinger B4 Class 4 and Bollinger B5 Class 5 EV cab chassis trucks from its subsidiary, Bollinger Motors. Mullen’s full lineup of commercial EVs are purpose-built to meet the demands of urban last-mile delivery; available for sale and in full compliance with U.S. Federal Motor Vehicle Safety Standards, the Environmental Protection Agency and the California Air Resources Board (“CARB”) certifications, denoting strict adherence to clean air emissions standards. The Bollinger B4 begins Start of Production on Sept. 16, 2024, with deliveries beginning in October 2024.
