National Auto Fleet Group Is Proud to Partner with Mullen Commercial EVs, Which Are Now Approved and Available for Public Sector Purchasing

Rhea-AI Summary

Mullen Automotive (NASDAQ: MULN) announces that its all-electric commercial vehicles, the Mullen ONE (Class 1 EV cargo van) and Mullen THREE (Class 3 EV cab chassis truck), have been added to National Auto Fleet Group's (NAFG) Sourcewell contract for public sector government purchasing.

This partnership enables government agencies and educational institutions to purchase Mullen EVs through NAFG without lengthy bidding procedures. Sourcewell, serving 50,000 municipalities and related agencies, streamlines the procurement process through pre-approved contracts.

As an approved CARB HVIP dealer, NAFG can offer significant cost reductions for the Mullen THREE, which has an MSRP of $68,500. With available HVIP vouchers up to $45,000 and a $7,500 federal tax credit, the net cost could be reduced to under $17,000.

Positive

• Access to 50,000 municipal and agency buyers through Sourcewell
• Significant price reduction through incentives ($51,500 total savings on Mullen THREE)
• Streamlined government procurement process
• CARB HVIP approved dealer status

Negative

• High initial MSRP of $68,500 for Mullen THREE before incentives

Insights

Financial Analyst

Mullen Automotive's partnership with National Auto Fleet Group (NAFG) represents a strategic channel expansion that could accelerate the company's access to government procurement opportunities. By joining NAFG's Sourcewell contract, Mullen's commercial EVs can now bypass lengthy bidding processes, potentially unlocking a backlog of municipal orders across 50,000 eligible public sector entities.

The financial incentives available for Mullen vehicles are substantial in California, with the Mullen THREE potentially available for under $17,000 after combining the $45,000 CARB HVIP voucher with the $7,500 federal tax credit. This creates a compelling value proposition for California municipalities looking to electrify their fleets.

However, several critical factors temper the immediate impact: 1) The announcement lacks quantification of the backlog size or revenue potential; 2) The most aggressive pricing incentives are to California only; 3) No details on production capacity or delivery timelines are provided; and 4) Government procurement, while streamlined, still involves budget cycles and approval processes.

Given Mullen's market capitalization of approximately $3.5 million, questions remain about the company's production capacity and ability to capitalize on this opportunity despite the streamlined sales channel. While this partnership removes one barrier to government sales, Mullen still faces significant execution challenges in a competitive commercial EV landscape.

Mullen Commercial EVs available for purchase on Sourcewell under NAFG’s Sourcewell Contract # 091521-NAF which offers Class 1-3 light duty trucks, cars, vans, SUVs, cab chassis, and electric vehicles with related equipment and accessories to U.S. government agencies

Approval provides opportunity to satisfy backlog of municipal orders

Sourcewell is a government agency that has fulfilled bidding requirements and holds hundreds of competitively solicited contracts ready for use by 50,000 municipalities and related agencies

BREA, Calif., Feb. 26, 2025 (GLOBE NEWSWIRE) -- via IBN -- Mullen Automotive, Inc. (NASDAQ: MULN) (“Mullen” or the “Company”), an electric vehicle (“EV”) manufacturer, announces today that its all-electric commercial vehicles, the Mullen ONE, Class 1 EV cargo van, and Mullen THREE, Class 3 EV cab chassis truck, have been added to National Auto Fleet Group’s (NAFG) Sourcewell contract and are approved, effective immediately, for public sector government purchasing through National Auto Fleet Group. With the acceptance into Sourcewell, government agencies and educational institutions can now easily acquire Mullen Commercial EVs through NAFG without navigating lengthy bidding procedures.
 
Sourcewell is a government agency that saves time and money for public entities by fulfilling bidding requirements through hundreds of competitively solicited contracts ready for use. National Auto Fleet Group, one of Mullen’s California-based commercial vehicle dealers, is a Sourcewell selected vehicle vendor with two awarded contracts (#091521-NAF and #060920-NAF). NAFG provides fleet vehicle purchasing to state and local government and educational institutions.  

“The addition of Mullen products to Sourcewell is a major benefit to our municipal customers as it streamlines the purchasing process allowing them to acquire our EVs, avoid an extensive contractual process and significantly reduces their time to acquisition,” said David Michery, CEO and chairman of Mullen Automotive. “NAFG has long-established relationships with government entities and is a trusted partner of municipalities and we are grateful for their partnership and commitment to electric vehicles.”

NAFG is also an approved California Air Resource Board (“CARB”) HVIP dealer and is able to provide point of sale vouchers for the Mullen THREE, Class 3 EV truck. Under HVIP, the 2024 Mullen THREE, with a suggested MSRP of $68,500, qualifies for an up to $45,000 cash voucher. When combined with the available $7,500 federal tax credit, the net effective cost of the Mullen THREE could be less than $17,000.

About Sourcewell
Sourcewell is a self-sustaining government organization that partners with education, government, and nonprofits to empower student and community success. Throughout North America, Sourcewell offers a cooperative purchasing program with over 400 awarded suppliers on contract, simplifying the buying process for its members and ensuring they receive the best value for their procurement needs.

About National Auto Fleet Group
National Auto Fleet Group (NAFG) is a minority family-owned, all-in-one vehicle vendor that caters to government agencies across the United States. With two generations of experience, we understand the complexities involved in government fleet vehicle purchasing. Our fast, reliable, and hassle-free Sourcewell vehicle contracts empower members to seek alternatives to the tedious bidding process. Our effective and simple online quoting system offers resources to assist public agencies with a variety of fleet purchasing solutions.

To learn more, visit www.nationalautofleetgroup.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. As of January 2024, both the Mullen ONE, a Class 1 EV cargo van, and Mullen THREE, a Class 3 EV cab chassis truck, are California Air Resource Board (“CARB”) and EPA certified and available for sale in the U.S. The Company has also expanded its commercial dealer network to seven dealers, which includes Papé Kenworth, Pritchard EV, National Auto Fleet Group, Ziegler Truck Group, Range Truck Group, Eco Auto, and Randy Marion Auto Group, providing sales and service coverage in key West Coast, Midwest, Pacific Northwest, New England, and Mid-Atlantic markets.

On Sept. 7, 2022, Bollinger Motors, of Oak Park, Michigan, became a majority-owned EV truck company of Mullen Automotive. Bollinger Motors has passed numerous milestones including its production launch on Sept. 16, 2024, CARB certification, FMVSS compliance, receiving the Certificate of Conformity from the Environmental Protection Agency, providing full warranty coverage of the B4 chassis cab, and the development of a world-class dealer and service network with over 50 locations across the United States.

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 what, if any Company vehicle sales will materialize through National Auto Fleet Group’s Sourcewell contract, whether federal, state and other electric vehicle incentive programs will continue and the resultant price that will be paid by purchasers of Mullen vehicles. 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
IBN
Austin, Texas
www.InvestorBrandNetwork.com
512.354.7000 Office
Editor@InvestorBrandNetwork.com

FAQ

What is the purchase price of Mullen THREE EV truck after incentives?

The Mullen THREE, priced at $68,500 MSRP, could cost less than $17,000 after combining a $45,000 HVIP voucher and $7,500 federal tax credit.

How does the Sourcewell partnership benefit MULN's government sales?

The partnership allows government agencies to purchase Mullen EVs directly through NAFG without lengthy bidding procedures, streamlining the acquisition process.

Which Mullen EV models are available through the NAFG Sourcewell contract?

The Mullen ONE (Class 1 EV cargo van) and Mullen THREE (Class 3 EV cab chassis truck) are available through the contract.

What incentives are available for Mullen THREE EV truck purchases?

Buyers can access up to $45,000 in CARB HVIP vouchers and a $7,500 federal tax credit.