Mullen Automotive, Inc. (NasdaqCM:MULN) agreed to acquire Certain Assets of Electric Last Mile Solutions, Inc. and Electric Last Mile, Inc. on September 16, 2022. The transaction is valued at $105 million. Mullen Automotive is paying $55.0 million for certain assets of the Debtors, including a plant in Mishawaka, Indiana and assumption of the related land contract, all inventory and tangible personal property, customer and supplier information, and certain intellectual property rights plus the assumption of monetary liabilities related to assumed contracts, including the land contract, which are estimated to be approximately $37 million.

The acquisition will be completed as an all-cash purchase, MullenÆs cash on hand and funding commitment of up to $240 million provides them with access of up to $275 million to close acquisition and fund vehicle. Mullen Automotive Inc. has secured $150 million in funding which will be used in part to close on its acquisition of Electric Last Mile Solutions in Michigan. The transaction is subject to approval by bankruptcy court.

On October 13, 2022, the United States Bankruptcy Court for the District of Delaware issued an order approving the sale (Sale Order). The closing will take place within 30 days after entry of the Sale Order. Alan M. Root and James G. Smith of Archer & Greiner, P.C. acted as legal advisor to David W. Carickhoff.

SSG Capital Advisors, LLC acted as financial advisor to David W. Carickhoff of Electric Last Mile Solutions, Inc. and its subsidiary, Electric Last Mile, Inc. Alfred T. Giuliano and Robert L. Edwards of Giuliano, Miller & Company, LLC, financial advisors to the Chapter 7 Trustee. Carl L. Grumer and Katherine J. Blair of Manatt of Phelps & Phillips, LLC acted as legal advisor to Mullen Automotive, Inc. Jeffrey C. Wisler of Connolly Gallagher LLP acted as legal advisor to to Mullen Automotive, Inc. Alison R. Weinberg-Fahey of Greenberg Traurig, LLP acted as legal advisor to Mullen Automotive, Inc.