In an impressive feat of shareholder losses, Mullen Automotive (NASDAQ: MULN) this morning revealed it is looking to seek shareholder support to conduct a third reverse split this year.
The company has filed a preliminary proxy statement with the SEC for a special stockholder meeting, to be held on December 15. The meeting will see the company seek approval for yet another reverse split, following a 1 for 25 consolidation conducted in May and a 1 for 9 consolidation carried out in August.
The latest consolidation round will see the company consolidate its shares anywhere from a 1 for 2 basis to a 1 for 100 basis. The final ratio selected by the board will be determined based on the company’s share price and the need to maintain a minimum $1.00 bid on the Nasdaq. If that price requirement is maintained without the use of a reverse split, Mullen has indicated that it would abandon the consolidation.
The development follows the company earlier this week disclosing that it is on track to produce 150 Class 3 EV trucks through December, while Class 1 EV cargo van production and deliveries are expected to begin in the fourth quarter, with 300 estimated to be produced in the current year. Production for 2024 is estimated at 850 Class 3 EV chassis cabs, and 6,000 Class 1 EV cargo vans.
Mullen Automotive last traded at $0.26 on the Nasdaq.
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