In a surprise move, Mullen Automotive has revealed that it has bought a majority stake in rival Bollinger Motors and also announced that it has big plans for Bollinger as the EV startup attempts to expand its presence rapidly amidst rapid change and legislative laws that passed.
Mullen’s Move The Ultimate Surprise
When we say Mullen’s move came out of left field, we mean it, with this author out on another assignment when the news came off the wire. Mullen’s investment in Bollinger reflects the grand plans that the firm has for its new acquisition, with the company spending $148.2 million in cash and stocks to acquire its significant stake in Bollinger. Mullen’s investment could also perhaps be a way to reenter the EV wars and follows up on two prior attempts to enter the market.
The first one involved trying to bring the Coda EV back from the dead before that was scuttled for a deal with Chinese firm Qiantu to bring assembly of the K50 Dragonfly to the United States. All of this was happening while the firm was also trying to get the groundwork laid out for the FIVE crossover SUV. That’s quite the juggling act, and this latest collaboration is a sign of just how hard things have become for EV startup companies still struggling to pick up the pieces after COVID-19 reshaped the landscape.
Bollinger To Potentially Benefit From Mullen’s Investment
Like Mullen, Bollinger Motors is also an EV startup firm, but unlike Mullen, Bollinger’s plans have rapidly shifted over the last few years. Bollinger originally planned to build the B1 pickup and B2 EV SUV for consumer sale. These models were supposed to enter production last year, but Bollinger surprised early reservation holders by ending the program after taking in over 50,000 reservations to focus on commercial sales. These reservation holders might now have something to look forward to with Mullen confirming that it intends to restart production of the B1 and B2.
While the duo was designed to appeal to the niche off-road market, sales of these models will be welcome capital for Mullen/Bollinger and allow the partnership to use some of the profits to help shore up the commercial side of the business, especially with the recently announced B4 commercial truck lineup. This acquisition will not only help give Bollinger more stability, but also allow Bollinger to use the partnership to expand to more markets and enhance their methods of distributing their products to consumers as well.
Carl Malek has been an automotive journalist for over 10 years. First starting out as a freelance photographer before making the transition to writing during college, his work has appeared on numerous automotive forums as well as websites such as Autoshopper.com.
Carl is also a big fan of British vehicles with the bulk of his devotion going to the Morgan Motor Company as well as offerings from Lotus, MG, and Caterham. When he is not writing about automobiles, Carl enjoys spending time with his family and friends in the Metro Detroit area, as well as spending time with his adorable pets.