Serve Robotics Inc. (OTC:SBOT) Stock In Focus On Public Offering

There is no doubt that interest in innovative companies remains considerable due to the track record of path-breaking companies generating considerable returns for investors. One of the companies that investors could track today is Serve Robotics Inc. (OTC:SBOT), a leading player in the autonomous sidewalk delivery space.

On April 17, the company came into focus after it revealed the pricing of its underwritten public offering of as many as 10,000,000 shares of its common stock. The company announced that it would offer those shares for $4 each in order to generate gross proceeds to the tune of $40 million. However, there would be deductions related to offering expenses and underwriting discounts. The company also announced that one of its biggest shareholders, Postmates LLC, the fully owned subsidiary unit of Uber Technologies Inc., would also participate in the offering.

However, that was not all. The company also announced that Serve Robotics had also granted a 45-day option to pick up a maximum of 150,000 additional shares from Aegis Capital Corp. That would be equivalent to 15% of the total number of shares to be sold in the offering only for the coverage of any overall allotments. In the event of Aegis exercising its option in full, the gross proceeds from the offering would go up to around $46 million prior to deductions related to commissions, discounts, and offering expenses.

The company also revealed that the offering was expected to be concluded on April 22, 2024, provided all the customary closing conditions were met. The company noted that it planned to deploy the proceeds from the offering to finance the research and development of the next generation of robot offerings, market expansion, manufacturing, and working capital, as well as general corporate purposes. The company also revealed that its common stock had been approved for listing on the NASDAQ Capital Market.


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