Mullen Continues Commercial EV Dealer Expansion in Midwest with Ziegler Truck Group and Pacific Northwest with Range Truck Group
Mullen Automotive (NASDAQ: MULN) has announced a strategic partnership with Ziegler Truck Group and Range Truck Group to expand its zero-emissions commercial vehicle dealership network in the Midwest and Pacific Northwest. The partnership aims to cover national and regional fleet opportunities for Mullen's commercial EVs, specifically targeting the Pacific Northwest and upper Midwest regions. Ziegler and Range, part of the Ziegler Companies distribution network, bring over 110 years of experience in selling and servicing premier brands in construction and agriculture equipment. Ziegler is an approved California Air Resource Board (CARB) HVIP dealer and will offer Mullen's full line of all-electric commercial vehicles, including the Mullen ONE and Mullen THREE. The Mullen THREE qualifies for up to $45,000 in HVIP vouchers and a $7,500 federal tax credit, potentially reducing its cost to under $17,000.
- Partnership with Ziegler and Range Truck Group expands Mullen's dealership network in key U.S. regions.
- Ziegler and Range bring over 110 years of industry experience.
- Mullen THREE qualifies for up to $45,000 in HVIP vouchers.
- Federal tax credit of $7,500 further reduces Mullen THREE's cost.
- Ziegler's extensive network aids in fleet integration and transition planning.
- No mention of confirmed vehicle orders or sales numbers.
- Potential over-reliance on subsidies and tax credits to make vehicles affordable.
- Expansion is to specific regions, not nationwide.
- Partnership announcements do not equate to immediate revenue generation.
Insights
The partnership between Mullen Automotive and Ziegler Truck Group, along with Range Truck Group, marks a significant expansion in the commercial electric vehicle (EV) market. This move strategically places Mullen’s zero-emissions commercial vehicles in key regions—the Pacific Northwest and upper Midwest of the United States—known for their progressive environmental policies and infrastructure investments.
Ziegler’s 110-year legacy in construction and agriculture equipment gives them a robust network and substantial expertise, which will be important for the adoption of Mullen’s EVs. The ability to offer HVIP point-of-sale vouchers, combined with the federal tax credit, reduces the cost of the Mullen THREE to a highly competitive price point. This financial incentive is likely to accelerate fleet integrations and attract businesses interested in sustainable transportation solutions.
In the short term, this expansion will likely boost Mullen’s sales volume and market visibility. Long-term, it positions Mullen favorably as a key player in the commercial EV market, leveraging Ziegler’s established customer base and reputation for reliability. However, the success of this partnership will depend on Mullen's ability to meet supply demands and maintain high service standards.
From a financial standpoint, this expansion is a positive development for Mullen Automotive. Ziegler Truck Group and Range Truck Group's established market presence and customer base provide a low-risk entry into new regional markets. The HVIP and federal tax credits make Mullen's vehicles highly affordable, potentially driving up demand and sales volumes.
However, investors should consider the costs associated with scaling production and maintaining service quality. Mullen’s financial health and ability to sustain this growth should be monitored, particularly in terms of cash flow and profitability margins. If Mullen can effectively manage these aspects, the long-term financial benefits could be substantial, positioning them as a leader in the commercial EV sector.
Additionally, this move could positively impact Mullen's stock price in the short term as investor confidence grows, anticipating increased revenue streams. Observing future quarterly earnings will be essential to gauge the real impact of this partnership on Mullen’s financial performance.
Initial Vehicle Orders to Follow
BREA, Calif., May 15, 2024 (GLOBE NEWSWIRE) -- via IBN -- Mullen Automotive, Inc. (NASDAQ: MULN) (“Mullen” or the “Company”), an electric vehicle (“EV”) manufacturer, announces today the addition of zero-emissions commercial vehicle dealers, Minnesota-based Ziegler Truck Group (“Ziegler” or “ZTG”) and Washington-based Range Truck Group (“Range” or “RTG”), a part of the Ziegler Companies distribution network. As Mullen’s new franchise partners, RTG and ZTG will cover national and regional fleet opportunities for Mullen commercial EVs with a focus on the Pacific Northwest and upper Midwest regions of the United States.
With a 110-year legacy of selling and servicing premier brands in construction and agriculture equipment, Ziegler and Range Truck Group, independent entities as part of the Ziegler Companies portfolio, are focused on delivering advanced infrastructure and cutting-edge zero-emissions solutions to the commercial transportation sector. Ziegler Companies, a family-owned equipment dealer since 1914, is a group of industry pioneers and now leading providers of zero-emissions commercial trucks. Leveraging its vast network and industry expertise, Ziegler and Range help with every aspect of fleet integration by empowering customers with top-notch transition planning, sales, service, and support.
ZTG is an approved California Air Resource Board (“CARB”) HVIP dealer and will offer Mullen’s full line of all-electric commercial vehicles, the Mullen ONE, Class 1 EV cargo van and Mullen THREE, Class 3 EV cab chassis truck, which is HVIP approved and provides up to
“We’re building a portfolio of zero-emissions vehicles to help our customers seamlessly navigate the transition of their fleet,” said Johannes Ariens, representing both RTG and ZTG. “Our customers are ready to explore, test and pilot vehicles, and with Mullen, we’re able to get them on the road to zero-emissions faster with low-barrier price points and with the support and reliability we’ve been collectively providing for over 110 years as a legacy dealer organization.”
“This partnership signifies an additional step forward for Mullen as it broadens our reach and strengthens our foothold in the growing commercial EV market,” said David Michery, CEO and chairman of Mullen Automotive. “Range and Ziegler’s extensive network of dealerships and proven track record in the commercial vehicle industry will be invaluable as we work together to deliver our electric cargo vans and trucks to businesses across the nation.”
About Ziegler Truck Group and Range Truck Group
RTG and ZTG are trusted partners on the road to zero emissions backed by innovative energy solutions that remove traditional roadblocks to getting there. Together, we provide comprehensive solutions customized to the needs of our customers—including a portfolio of zero-emissions vehicles, access to flexible charging options and a team of specialists ready to help accelerate the transition.
To learn more, visit www.ZieglerTruck.com.
About Mullen
Mullen Automotive (NASDAQ: MULN) is a Southern California-based automotive company building the next generation of commercial electric vehicles (“EVs”) with two United States-based vehicle plants located in Tunica, Mississippi, (120,000 square feet) and Mishawaka, Indiana (650,000 square feet). In August 2023, Mullen began commercial vehicle production in Tunica. In September 2023, Mullen received IRS approval for federal EV tax credits on its commercial vehicles with a Qualified Manufacturer designation that offers eligible customers up to
To learn more about the Company, visit www.MullenUSA.com.
Forward-Looking Statements
Certain statements in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Exchange Act of 1934, as amended. Any statements contained in this press release that are not statements of historical fact may be deemed forward-looking statements. Words such as "continue," "will," "may," "could," "should," "expect," "expected," "plans," "intend," "anticipate," "believe," "estimate," "predict," "potential" and similar expressions are intended to identify such forward-looking statements. All forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, many of which are generally outside the control of Mullen and are difficult to predict. Examples of such risks and uncertainties include, but are not limited to, whether the two new dealerships will be successful in selling Mullen’s vehicles, what governmental voucher and other incentives will be in place when purchasers buy vehicles and the resultant final vehicle costs to purchasers; and whether ZTG and RTG will get purchase orders for Mullen vehicles from government agencies. Additional examples of such risks and uncertainties include but are not limited to: (i) Mullen’s ability (or inability) to obtain additional financing in sufficient amounts or on acceptable terms when needed; (ii) Mullen's ability to maintain existing, and secure additional, contracts with manufacturers, parts and other service providers relating to its business; (iii) Mullen’s ability to successfully expand in existing markets and enter new markets; (iv) Mullen’s ability to successfully manage and integrate any acquisitions of businesses, solutions or technologies; (v) unanticipated operating costs, transaction costs and actual or contingent liabilities; (vi) the ability to attract and retain qualified employees and key personnel; (vii) adverse effects of increased competition on Mullen’s business; (viii) changes in government licensing and regulation that may adversely affect Mullen’s business; (ix) the risk that changes in consumer behavior could adversely affect Mullen’s business; (x) Mullen’s ability to protect its intellectual property; and (xi) local, industry and general business and economic conditions. Additional factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements can be found in the most recent annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K filed by Mullen with the Securities and Exchange Commission. Mullen anticipates that subsequent events and developments may cause its plans, intentions and expectations to change. Mullen assumes no obligation, and it specifically disclaims any intention or obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law. Forward-looking statements speak only as of the date they are made and should not be relied upon as representing Mullen’s plans and expectations as of any subsequent date.
Contact:
Mullen Automotive, Inc.
+1 (714) 613-1900
www.MullenUSA.com
Corporate Communications:
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Los Angeles, California
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