Mullen Automotive Stock Is Moving Higher: What's Going On?

Mullen Automotive Inc MULN shares shares gained premarket before pulling back. The company on Monday announced that its first production vehicle has rolled off the assembly line.

What Happened: Mullen said it produced its first Class 3 EV truck, the Mullen THREE, at its commercial vehicle assembly facility in Mississippi.

"We have been true to our commercial Class 3 vehicle production commitments and have now achieved a significant milestone with the first trucks rolling off the line," said David Michery, chairman and CEO of Mullen.

Mullen said it will gradually ramp production through the end of the year. Once the company reaches full production, it expects to produce 3,000 vehicles a year at the Mississippi facility and eventually add a second shift to increase capacity to 6,000 total vehicles per year. 

Mullen noted that it has received $79 million in purchase orders for the Mullen THREE to date. 

The news comes after the company announced the start of its $25 million buyback toward the end of last week and highlighted open market buys from its CEO.

Mullen has until Sept. 5 to meet the Nasdaq's continued listing requirement of $1 per share. The Nasdaq generally requires a company to maintain a price above $1 per share for ten consecutive days to demonstrate ability to maintain long-term compliance. 

See Also: Why Nikola Stock Is Tumbling Monday

MULN Price Action: Mullen shares were roughly flat at 64 cents at time of publication, according to Benzinga Pro.

Photo: courtesy of Mullen.