Mullen Announces New European Distributor, GAMA, for the Balkans Region
Mullen Automotive (NASDAQ: MULN) has announced a new distribution partnership with GAMA for the Balkans region, covering Bosnia Herzegovina, Serbia, Montenegro, Croatia, Slovenia, Macedonia, Albania, Greece, and Bulgaria. GAMA will distribute Mullen's complete range of commercial electric vehicles (EVs) and has placed an initial order for 53 vehicles, including urban delivery vehicles, vans, and trucks. GAMA has significant experience in the Balkan EV market, having sold over 300 vehicles in the past year, and is well-regarded for its success in public tenders. The partnership is part of Mullen's broader strategy to expand its global footprint in European markets.
- New partnership with GAMA expands Mullen’s market reach to the Balkans region.
- Initial order of 53 commercial EVs demonstrates immediate business traction.
- GAMA’s experience with over 300 EV sales in the past year signals strong market knowledge and effectiveness.
- GAMA’s established distribution network with eight sub-dealers supports efficient sales, service, and parts operation.
- GAMA’s new facility in Belgrade can enhance logistical support and operational capacity.
- The partnership and initial order may not immediately translate to significant revenue.
- Reliance on a new distributor in a different market could introduce uncertainties and risks.
- The Balkan region's economic and political stability may affect business operations.
Mullen Automotive's partnership with GAMA to penetrate the Balkans Region signifies a strategic move towards expanding its global footprint in the electric vehicle market. GAMA's established reputation and experience in distributing over 300 EVs in the past year, particularly in public tenders for local government opportunities, enhance the credibility of this partnership. For retail investors, the immediate sale of 53 commercial EVs is a solid starting point, but the potential lies in the long-term growth opportunities this partnership may unlock. The Balkans Region, comprising countries like Greece and Croatia, represents a growing market for EV adoption due to increasing environmental regulations and incentives. The fact that GAMA is building a new facility in Belgrade further indicates a commitment to long-term operations and support in the region. Investors should keep an eye on how this initial order scales and the overall market reception to Mullen's products in this new territory.
From a financial perspective, securing a distributor in the Balkans Region offers Mullen Automotive a new revenue stream which could positively impact the company's top-line growth. The initial order of 53 vehicles, while modest, serves as an entry point into a less saturated market, potentially yielding higher margins due to lower competition compared to Western European markets. However, investors should also consider the costs of entry in terms of logistics, potential tariffs and the time required to establish a foothold. Additionally, the current financial health of Mullen Automotive should be examined to evaluate whether the company can sustain this expansion without excessive strain on its resources. Investors should be particularly cautious and watch for quarterly financial updates to gauge the actual impact of this partnership on the company's earnings and profitability.
New commercial distributor was formed recently to offer Mullen’s full commercial EV lineup in the Balkans Region, which includes Bosnia Herzegovina, Serbia, Montenegro, Croatia, Slovenia, Macedonia, Albania, Greece and Bulgaria
Initial order to include 53 commercial EVs, consisting of urban delivery vehicles and commercial vans and trucks
BREA, Calif., May 24, 2024 (GLOBE NEWSWIRE) -- via IBN -- Mullen Automotive Inc. (NASDAQ: MULN) (“Mullen” or the “Company”), an electric vehicle (“EV”) manufacturer, today announces GAMA as an additional European distribution partner for southeastern Europe covering the Balkans Region, which includes Bosnia Herzegovina, Serbia, Montenegro, Croatia, Slovenia, Macedonia, Albania, Greece and Bulgaria. GAMA will represent Mullen’s full commercial electric vehicle product line.
GAMA has extensive experience with electric vehicles in the Balkan market and has distributed more than 300 vehicles in the last year including private and municipal sales. GAMA has a strong reputation responding to and winning public tenders for local government opportunities. GAMA’s distribution network includes eight sub dealers in the Balkan Region supporting sales, service and parts operation and is currently building a new facility in Belgrade.
GAMA’s initial vehicle order includes 53 commercial EVs, consisting of urban delivery vehicles and commercial vans and trucks.
“This is part of Mullen’s global expansion into additional European markets and we are excited to secure and announce GAMA as a first distributor for the Balkans Region of southeastern Europe,” said David Michery, CEO and chairman of Mullen Automotive.
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 GAMA will be successful in selling Mullen’s vehicles and whether GAMA will get purchase orders for Mullen vehicles from government agencies. Additional examples of such risks and uncertainties include but are not limited to: (i) ability (or inability) to obtain additional financing in sufficient amounts or on acceptable terms when needed; (ii) ability to maintain existing, and secure additional, contracts with manufacturers, parts and other service providers relating to its business; (iii) ability to successfully expand in existing markets and enter new markets; (iv) 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) ability to protect 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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