A delivery vehicle manufactured by Electric Last Mile Solutions in South Bend, Ind.
Photo: ELMS/via REUTERS
The assets include Electric Last Mile Solutions’ manufacturing plant in Mishawaka, Ind., and all inventory and intellectual property, Mullen said. The plant provides capability to produce 50,000 vehicles a year, the company said.
Mullen expects to pay all cash for the assets and didn’t disclose the price of the deal. Mullen said, between cash and funding commitments, it has up to $275 million to close the deal and fund the launch of its electric vehicles.
said the deal would shorten the company’s path to production.
Shares of Mullen, down 96% so far this year, rose more than 2%, to 22 cents.
Troy, Mich.-based Electric Last Mile Solutions said in June that it would file for bankruptcy and liquidate its business, a move that came after the company earlier this year disclosed an investigation by the U.S. Securities and Exchange Commission. Electric Last Mile Solutions went public last year by merging with a special-purpose acquisition company.
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