Mullen Automotive filed on Friday a S-3ASR form announcing a filing for up to 524,067,048 share offering by selling stockholders. The company said it relates “solely to the resale by the investors listed in the section of this prospectus entitled “Selling Stockholders” of up to 524,067,048 shares of their common stock.
“The Offered Shares consist solely of 4,533,353 shares of our Common Stock, 11,139,665 shares of our Common Stock (the “Conversion Shares”) issuable upon conversion of our Series C preferred stock, and up to 508,394,030 shares of our Common Stock (the “Warrant Shares”) issuable upon exercise of outstanding warrants to purchase shares of our Common Stock (the “Warrants”).We are registering the resale of the Conversion Shares and the Warrant Shares as required by that certain Registration Rights Agreement, entered into among Mullen Technologies, Inc (“Mullen Technologies”) and certain of the Selling Stockholders (the “Registration Rights Agreement”), and the Exchange Agreement and the $20 Million SPA (each as defined below),” the company stated.
“Each share of our Series C Preferred Stock, par value $0.001 per share (“Series C Preferred Stock”) is currently convertible into Common Stock on a 1:1 basis. Currently, 11,139,665 shares of our Common Stock are issuable upon the conversion of the Series C Preferred Stock. The Warrants have an exercise price of $8.84 (as adjusted as provided in the warrants and further in accordance with the Merger Agreement (defined below)) were exercisable upon issuance and have a term of five years from the date of issuance. Currently, 203,357,612 Warrant Shares are issuable under the Warrants. The additional shares of our Common Stock included in this prospectus are being registered for resale pursuant to the terms of the Warrants and the Registration Rights Agreement to cover additional shares of Common Stock that may be issuable under the anti-dilution provisions contained in the terms of the Warrants and described herein under “Selling Stockholders” and “Description of Capital Stock”,” Mullen said.
Mullen said the team “will be home to a new division of engineers and technology developers focused on Mullen’s Class 1 – 5 commercial vehicle development” expecting to have upwards of 50 employees by the end of 2022 after the first 20 new hires.
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On Monday, the company unveiled the opening of a new Automotive Development Center at 100 Technology Drive, Irvine to support Mullen’s expanding automotive team. The 16,000-square-foot facility is located “in the heart of Irvine’s technology corridor” and will receive part of the team that Mullen will divide between Monrovia and Irvine facilities.
The new plant will host Engineering Design and Development, Styling, Program Management, Marketing and Finance teams, whereas Battery, Powertrain, Thermal, and Infotainment teams will be located at the High-Voltage Facility in Monrovia, California, the company stated.
According to a 13F-HR form filed last week, the National Bank Of Canada initiated a position on the EV maker disclosing ownership of 536,500 shares valued at $547,000 at the end of the second quarter. Furthermore, the Bank also purchased 1,500 Call options ($153,000) and 6,865 Puts at ($700,000) during the second quarter of the year.
Earlier in the week, Mullen held its Annual Meeting of shareholders (Full Presentation here). A total of 302,018,291 votes were represented at the Annual Meeting and all the proposals were passed by the shareholders in the preliminary results. The final results of the proposal votes will be announced on or before August 1, Mullen said during the meeting.
On July 11, Mullen Automotive announced the sign of a binding agreement with the Amazon Delivery service partner DelPack Logistics to acquire up to 600 Mullen Class 2 EV cargo vans over the next 18 months — until January 2024.
At the meeting, Mullen’s VP of Marketing confirmed the EV maker is working on the vans and planning to deliver them again to the F500 company in August. When asked about the locations of the test drive tour and the timeline for the launch of the first model, Mullen’s VP of Marketing said the test drives will be in private locations regarding the missing certification for the public roads.