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MissionIRNewsBreaks – Net Element (NASDAQ: NETE) Releases 2020 Financial Report, Updates on Merger Status

Net Element (NASDAQ: NETE), a financial technology company in the process of becoming a pure-play electric vehicle (“EV”) manufacturer through a pending definitive agreement with privately held Mullen Technologies Inc., has released its financial report for the calendar year ended Dec. 31, 2020. In the report, the company noted a net loss of an estimated $5.9 million for fiscal year 2020  as compared to a net loss of some $6.5 million for fiscal year 2019. Gross margin for FY 2020 was approximately $9.8 million, or 15.0% of net revenue, as compared to approximately $10.3 million, or 15.8% of net revenue, for 2019. NETE reported total operating expenses of an estimated $14.3 million for the year, compared to total operating expenses of approximately $15.8 million for the same period in 2019. In addition to its financial results, the company provided an update on the previously announced stock-for-stock reverse merger with privately held Mullen Technologies Inc., a Southern California-based electric vehicle (“EV”) company. The company announced that Mullen has completed the required financial audits and both companies are finalizing the Form S-4, which is expected to be filed with the Securities and Exchange Commission. “We would like to reassure our shareholders that we continue working diligently on the pending merger with Mullen as we move to finalize Form S-4 and the proxy statement for our shareholders,” said  Net Element’s executive chairman Oleg Firer in the press release. “The company has been focused on minimizing operational expenses in the payments business pending its divestiture, subject to requisite stockholders’ approval, as part of the merger with Mullen.”

To view the full press release, visit https://ibn.fm/72Pa6

About Net Element Inc.

Net Element operates a payments-as-a-service transactional and value-added services platform for small to medium enterprise (“SME”) in the United States and selected emerging markets. On Aug. 5, 2020, Net Element announced the execution of a definitive agreement to merge with privately held Mullen Technologies Inc., a Southern California-based electric vehicle company in a stock-for-stock reverse merger in which Mullen’s stockholders will receive a majority of the outstanding stock in the post-merger company (the “contemplated merger”). The contemplated merger is subject to customary closing conditions, regulatory approvals and shareholder approval for both companies. For additional information, visit www.NetElement.com.

NOTE TO INVESTORS: The latest news and updates relating to NETE are available in the company’s newsroom at http://ibn.fm/NETE

About MissionIRNewsBreaks

MissionIRNewsBreaks provide a rapid summary of corporate news that catch the attention of MissionIR. MissionIRNewsBreaks are created by our Team of professional journalists that keep a constant eye on the markets, these posts are designed to inform you on the latest happenings of our clients and other publicly traded companies on our radar. From earnings, acquisitions and agreements to conference attendance and clinical study results, our news breaks keep you up-to-date with the day’s top movers. MissionIR is primarily focused on strategic communications. We have executed countless communications programs to address the needs of companies ranging from start-ups to established industry leaders, gaining valuable experience and the expertise necessary to determine the most effective strategy for any given situation.

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