Mullen Announces Bollinger Motors First Commercial Dealership, LaFontaine Automotive Group
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The announcement of Mullen Automotive's subsidiary Bollinger Motors commencing production of the Bollinger B4 Chassis Cab in the latter half of 2024 and establishing a dealership partnership with LaFontaine Automotive Group marks a significant milestone in the company's strategic expansion within the electric vehicle (EV) sector. This move is indicative of the increasing demand for commercial EVs and the growth potential in this market segment.
The choice of Michigan for both design and production underscores a strategic alignment with the state's automotive heritage and its skilled labor force, potentially benefiting from local manufacturing incentives and fostering a supportive business environment. The partnership with LaFontaine Automotive Group expands Bollinger's retail and service network, enhancing customer access and after-sale support, which is critical for commercial fleet adoption.
Furthermore, the qualification for federal clean vehicle tax credits under the Inflation Reduction Act could significantly lower the total cost of ownership for businesses, providing a strong financial incentive that may accelerate fleet turnover from internal combustion engines to EVs. This tax credit could also enhance Bollinger's competitive positioning against other commercial vehicle manufacturers.
The initiation of Bollinger B4 production and the dealership agreement with LaFontaine Automotive Group could have a tangible impact on Mullen Automotive's financial performance. The commercial EV segment presents a high-growth opportunity and Bollinger's entry into this market could contribute to diversifying Mullen's revenue streams and improving its market share in the EV space.
Investors should monitor the company's ability to scale production and meet the anticipated delivery timeline, as delays could affect investor confidence and stock performance. Additionally, the dealership network's expansion is a capital-intensive endeavor and its impact on the company's cash flow and profitability should be evaluated. The tax credit eligibility is a positive factor, potentially improving margins and making the B4 Chassis Cab more attractive to commercial buyers.
It is important to assess how these developments align with industry norms regarding production timelines, dealership models and EV adoption rates in the commercial sector. Any deviation from these norms could indicate either a competitive advantage or a potential risk.
The Bollinger B4 Chassis Cab's design, featuring an 800V battery system and a focus on safety, addresses a niche but growing market for electric commercial trucks. The automotive industry is seeing a shift towards electrification and Bollinger's emphasis on a vehicle 'designed from the ground up' with fleet input signifies a tailored approach to meet specific commercial needs.
The strategic partnership with LaFontaine Automotive Group for dealership and service network expansion within Michigan could serve as a model for future nationwide growth. This localized approach allows for a strong launch platform, leveraging LaFontaine's established presence and expertise in commercial vehicle sales and service.
As the EV market evolves, Bollinger's ability to offer a specialized product with a robust support network could set a precedent for how EV manufacturers approach the commercial segment. The focus on a comprehensive customer experience beyond the sale, including service, repair and parts, is particularly relevant in the commercial sector where vehicle uptime is critical.
Bollinger B4 scheduled to start production second half of 2024
BREA, Calif., Feb. 14, 2024 (GLOBE NEWSWIRE) -- via IBN – Mullen Automotive, Inc. (NASDAQ: MULN) (“Mullen” or the “Company”), an emerging electric vehicle (“EV”) manufacturer, announces today Bollinger Motors (“Bollinger”) has named LaFontaine Automotive Group as its first authorized dealer with two locations in Lansing and Farmington Hills, Michigan.
The Bollinger B4 Chassis Cab is an all-new, all-electric class 4 commercial truck designed from the ground up with extensive fleet and upfitter input. Bollinger’s unique chassis design protects the 800V battery and components to offer unparalleled safety in the commercial market. The company anticipates deliveries of the B4 chassis cab to begin in the second half of 2024.
“We are thrilled to work with LaFontaine right here in Michigan where we designed, and will build, the B4,” said Robert Bollinger, founder and CEO of Bollinger Motors. “LaFontaine shares our commitment to quality and customer service.”
According to LaFontaine, the partnership brings the company’s portfolio to 54 retail franchises and 39 retail locations, with additional announcements planned later in 2024. Bollinger commercial vehicles will be sold at LaFontaine Bollinger Farmington Hills, 30250 Grand River Avenue in Farmington Hills, and LaFontaine Bollinger Lansing, 3625 S Pennsylvania Avenue in Lansing.
“Our partnership with Bollinger Motors is a true testament to the dedicated team we have and our commitment to providing our commercial customers a personalized experience that extends far past the sale of the vehicle. We focus not only on exceeding customer expectations during the sale, but providing service, repair, parts and accessories for our customers as well,” said Ryan LaFontaine, CEO, LaFontaine Automotive Group. “As we expand our commercial vehicle offering, this partnership aligns with our long-term vision of growth and expansion, allowing us to serve a broader customer base and strengthen our strategically located presence across Michigan."
“Our team has positioned itself as a true commercial and fleet powerhouse,” said Brian Frania, commercial and fleet director, LaFontaine Automotive Group. “Our customer-first approach has really resonated with businesses and municipalities, and we have seen tremendous growth in both commercial units sold and serviced.”
“Our strategically developed plan to offer sales and service nationwide is being kicked off with LaFontaine,” said Jim Connelly, chief revenue officer at Bollinger Motors. “Additional dealer partners will be announced soon, showing our commitment to fleets in all 50 states.”
Today’s announcement follows a series of Bollinger Motors announcements in recent months, including partnerships with Our Next Energy in Novi, Michigan, to supply the company with batteries and related components and Roush Industries in Livonia, Michigan, to manage vehicle assembly operations. The company recently qualified for federal clean vehicle tax credits under the Inflation Reduction Act of
About Bollinger Motors
Founded in 2015 by Robert Bollinger, Bollinger Motors, Inc. is a U.S.-based company headquartered in Oak Park, Michigan. Bollinger Motors is developing all-electric Class 4-6 commercial chassis cab trucks. In September of 2022, Bollinger Motors became a majority-owned company of Mullen Automotive, Inc. (NASDAQ: MULN).
Learn more at www.BollingerMotors.com.
About Mullen
Mullen Automotive (NASDAQ: MULN) is a Southern California-based automotive company building the next generation of electric vehicles (“EVs”) that will be manufactured in its two United States-based assembly plants. Mullen's EV development portfolio includes the Mullen FIVE EV Crossover, Mullen-GO Commercial Urban Delivery EV, Mullen Commercial Class 1-3 EVs and Bollinger Motors, which features both the B1 and B2 electric SUV trucks and Class 4-6 commercial offerings. During 2022, Bollinger Motors became a majority-owned EV truck company of Mullen Automotive and Mullen closed on the acquisition of all of Electric Last Mile Solutions' (“ELMS”) assets, including all IP and a 650,000-square-foot plant in Mishawaka, Indiana.
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 (a) Bollinger Motors’ continued partnership with LaFontaine Automotive Group; (b) Bollinger Motors’ ability to build a national network of commercial dealers in time for start of production and vehicle deliveries; (c) Bollinger Motors’ continued partnership with Our Next Energy as a battery supplier; (d) Bollinger Motors’ continued partnership with Roush Industries as a contract manufacturer; (e) Bollinger Motors’ ability to begin manufacturing and deliver their initial vehicles in the time and manner they anticipate; and (f) the continued availability and support for federal commercial vehicle purchasing incentives under the Inflation Reduction Act of 2022. 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
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FAQ
When is Bollinger B4 Chassis Cab production scheduled to start?
Who is named as the first authorized dealer for Bollinger Motors?
Where are the two locations of LaFontaine Automotive Group as authorized dealers?
What unique feature does the Bollinger B4 Chassis Cab offer in terms of safety?
What federal clean vehicle tax credits has the company qualified for?
