By Michael Elkins
American electric vehicle maker, Mullen Automotive Inc (NASDAQ:MULN) announced on Wednesday that the company has acquired Electric Last Mile Solutions Inc (OTC:ELMSQ) for $240 million in an all cash, Chapter 7 approved transaction. ELMS filed for bankruptcy in June, less than a year after it went public through a $1.4 billion SPAC deal.
The purchase of ELMS will allow Mullen to “to shorten its production path and aggressively expand into the commercial and consumer EV market,” David Michery, CEO and chairman of Mullen Automotive, said in a statement.
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 factory in Tunica, Mississippi. Tunica will now become the Commercial Manufacturing Center and capitalize to produce all Mullen and Bollinger Class 1 to 6 commercial vehicles.
The Mishawaka, IN factory that forms part of the Company’s acquisition, previously produced General Motors' (NYSE:GM) Hummer H2 SUV and SUT and subsequently contract manufactured the Mercedes-Benz R-Class vehicle. This makes it the perfect fit for production of the Mullen and Bollinger portfolio of consumer vehicles.