Electric Vehicle Manufacturer Mullen Automotive Purchases Electric Last Mile Assets in Mishawaka

The offer of “nearly $100 million in total consideration” was put in mid-September, following Electric Last Mile’s filing for Chapter 7 bankruptcy liquidation.

The deal also marks the next phase of Mullen’s strategy to break into the crowded electric vehicle market by bringing together struggling startups based in Metro Detroit. Its purchase of Electric Last Mile follows its acquisition of Oak Park, Michigan-based rival Bollinger Motors last month for $148 million.

“After the closing of the ELMS transaction, the company will be able to strategically leverage all of its acquired assets to shorten its production path and aggressively expand into the commercial and consumer electric vehicle market,” said said David Michery, CEO and Chairman of Mullen, in the Liberation.

The Indiana plant, formerly a Hummer plant, will have the capacity to produce 50,000 vehicles a year, according to Mullen. It plans to launch production of its Crossover Five EV there in 2024.

Electric Last Mile’s demise began in February after the abrupt resignation of two senior executives accused of improperly purchasing shares of the company. In the months that followed, the company carried out massive layoffs, halted production plans, and eventually filed for bankruptcy.