Vancouver, British Columbia and Delta, British Columbia--(Newsfile Corp. - October 20, 2022) - Investorideas.com, a leading investor news resource covering EV and automotive stocks releases a special report featuring Mullen Automotive, Inc. (NASDAQ: MULN), covering the continued growth of the EV market as government policy and infrastructure plans sync up with consumer and investor interest in the EV space.
Read the full EV article on Investorideas.com
The Global Electric Car Market was valued at USD 105 Billion in 2021 and according to Vantage Market Research's recent analysis; the market is projected to attain a value of USD 354.80 Billion by 2028 at a Compound Annual Growth Rate (CAGR) of 19% during the forecast period 2022 to 2028.
According to the global analysis, the electric car industry is considered a viable alternative to today's automobiles in the near future to address environmental issues. There are now more than 16 Million electric cars running across the globe, consuming approximately 30 terawatt-hours (TWh) of electricity per year.
Seeing the future of the sector, Mullen Automotive, Inc. (NASDAQ: MULN), an emerging electric vehicle manufacturer, recently announced the US Bankruptcy Court approval on Oct. 13, 2022 of its acquisition of electric vehicle company ELMS's (Electric Last Mile Solutions) assets in an all cash purchase. In the Chapter 7 approved transaction, Mullen will acquire ELMS's manufacturing plant, all inventory and intellectual property.
From the news: The Mishawaka, IN factory that forms part of the Company's acquisition, previously produced General Motors Hummer H2 SUV and SUT and also 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. The ELMS asset acquisition, and the recent acquisition of the majority ownership of Bollinger Motors, gives Mullen the ability to integrate Bollinger's vehicle platforms, B1 and B2 along with Mullen's FIVE and FIVE RS platforms into an already existing and capable high volume manufacturing facility. As a result, this will accelerate the launch of the Bollinger B1, B2 retail vehicles by 12 plus months.
Manufacturing optimization will include moving the Mullen FIVE EV Crossover production to the Mishawaka Factory from the Tunica, MS facility. Mullen FIVE production is planned to begin production in 2024. Tunica will now become the Commercial Manufacturing Center and capitalize to produce all Mullen and Bollinger Class 1 to 6 commercial vehicles.
With the additional Manufacturing capacity, total production volumes are expected to exceed Mullen's previous business plan projections. The commercial portfolio is expected to increase over 50% with the addition of the ELMS assets and the retail portfolio is expected to more than double with the addition of Bollinger vehicles and the manufacturing capacity of Mishawaka.
The Company's majority ownership acquisition of Bollinger Motors was closed in August 2022 with a combination of stock and cash. The ELMS acquisition will be completed as an all-cash purchase.
"Mullen's acquisition of Bollinger was one of the largest transactions of its kind in the EV market. Upon closing the ELMS transaction, the Company will be in a position to strategically leverage all its acquired assets to shorten its production path and aggressively expand into the commercial and consumer EV market," said David Michery, CEO and chairman of Mullen Automotive.
This follows Mullen's previous acquisition of a controlling interest in EV truck innovator Bollinger Motors Inc. The purchase price was $148.2 million in cash and stock for a 60% controlling interest, giving Mullen the majority ownership of Bollinger Motors. This acquisition was MULN's first EV acquisition, propelling it into the medium-duty truck classes 3-6, along with the B1 and B2 sport utility trucks.
Market research reports show that growth in the sector is going to significantly build as Mullen follows this acquisition path.
In a recent article, cleantechnica.com reported on EV sales in the US; "Fully electric vehicles have grown and grown in recent years. More and more models hit the market each month, and some of them are selling in decent volumes. Meanwhile, Tesla's strong growth continues and one wonders how high Tesla can go. It's on the verge of being one of the 10 top selling auto brands in the United States, an achievement that is likely to be reached in the 4th quarter of 2022."
According to a recent Zack's report, this could mean good news for EV manufacturer Tesla Inc. as right now "expectations are low for the September-quarter earnings season that's now underway, suggesting potential upside for shares of companies that do come in ahead of analysts' estimates, while raising risks for companies that fail to meet even modest expectations."
From the report: "This week and next week are just crucial and full of earnings," said Peter Tuz, President of Chase Investment Counsel in Charlottesville, Virginia.
Monday's major rally on Wall Street was just the latest in an unusually volatile year. The S&P 500 has recorded daily gains or losses of more than 2% 39 times so far in 2022, compared to seven times last year and 44 times in all of 2020.
Shares of Tesla jumped 7%, with the electric vehicle maker's report late on Wednesday set to be one of this week's main attractions.
Wall Street's most heavily traded stock, Tesla has tumbled over 17% since Oct. 2, when it disclosed third-quarter vehicle deliveries that missed estimates as logistical challenges overshadowed its record deliveries. However, analysts still expect Chief Executive Elon Musk to deliver a 60% jump in quarterly revenue and a 48% surge in "adjusted" earnings before interest, taxes, depreciation and amortization."
As Wall Street becomes more and more focused on the EV market, newcomers and longtime rivals in the market are taking advantage of the opportunity Tesla is creating to attract more investors.
Major automotive giant and now a major player in the EV market, Ford Motor Company, recently reported its September 2022 US sales results.
Ford electric vehicle sales continued to outpace the segment, with sales up 197.3 percent. Ford share of the electric vehicle segment was up in September 3.1 percentage points over last year with 7.0 percent share. In September, F-150 Lightning continued as America's best-selling electric pickup; E-Transit was also America's best-selling electric van in September.
"Ford continued to see high-demand vehicles turning at record rates in September, while developing electric truck and van leadership and extending our overall truck leadership. Demand remains strong with new retail orders rapidly expanding. We are very pleased with the work from our dealers, employees and the area's first responders, as they are working tirelessly to recover in Florida from Hurricane Ian," stated Andrew Frick, Vice president, Sales, Distribution & Trucks, Ford Blue.
NIO Inc. recently made headway into four more European countries after entering Norway in 2021. At a recent event in Berlin, NIO announced extending its services to Germany, Netherlands, Denmark and Sweden.
From the news: The selling strategy is different from the Norwegian market, wherein the automaker sells its electric vehicles (EVs) directly. Instead, in the new markets, it has introduced a subscription-based model through which customers can lease vehicles and rent NIO's three models, namely two sedans and one SUV. NIO has stated that since tax policies are not lucrative, it has decided on the new strategy.
The subscription period can be as short as a month and the longest being 60 months. Additionally, customers will get access to other services by NIO, as well as use NIO Houses. The Berlin NIO House is expected to open soon and new facilities will eventually open in other markets.
The subscription plans have been designed holistically to allow users to enjoy a hassle-free experience. It comprises comprehensive insurance, maintenance, winter tires, a courtesy car, battery swapping and the flexibility to upgrade battery services.
Besides getting the vehicles charged, customers have the provision for swapping their dead batteries for fully charged ones at NIO's swapping stations. In September-end, the company opened its first battery swap station in Germany's Zusmarshausen on a motorway between Munich and Stuttgart.
Also, the company opened its first European plant to manufacture swapping stations in Hungary last month. NIO has laid out an ambitious plan to install at least 120 battery-swapping stations in Europe by the end of 2023. By 2025, it aims to build 1,000 swapping stations overseas, most of which will be in Europe.
According to recent commentary, shares of the Chinese electric vehicle maker recently rose as investors reacted to comments made by Chinese President Xi Jinping about his country's focus on new technologies.
This is comparable to stock bumps we saw after the announcements earlier this year from Joe Biden and other world leaders and can be what is expected moving forward as we continue to see real movement, legislation and funding to make EV's the future of transportation.
Investor Ideas has a free directory of renewable energy stocks including EV and green automotive stocks for Investors to research. https://www.investorideas.com/Companies/RenewableEnergy/Stock_List.asp
About Investorideas.com - News that Inspires Big Investing Ideas
Investorideas.com publishes breaking stock news, third party stock research, guest posts and original articles and podcasts in leading stock sectors. Learn about investing in stocks and get investor ideas in cannabis, crypto, AI and IoT, mining, sports biotech, water, renewable energy, gaming and more. Investor Idea's original branded content includes podcasts and columns: Crypto Corner, Play by Play sports and stock news, Investor Ideas Potcasts Cannabis News and Stocks on the Move podcast, Cleantech and Climate Change, Exploring Mining, Betting on Gaming Stocks Podcast and the AI Eye Podcast.
Follow us on Twitter https://twitter.com/Investorideas
Follow us on Facebook https://www.facebook.com/Investorideas
Follow us on YouTube https://www.youtube.com/c/Investorideas
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/141131