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Serve Robotics Confirms DoorDash Deal and Launches $100 Million Stock Offering

The cash raise underscores funding needs for scaling its sidewalk delivery rollout.

Overview

  • Serve and DoorDash signed a multi-year partnership to deploy autonomous robot deliveries across the United States, with key commercial terms undisclosed.
  • The company entered agreements to sell 6,250,000 shares in a registered direct offering for expected gross proceeds of about $100 million, with closing targeted around October 14.
  • Net proceeds are earmarked for general corporate purposes, including working capital, with Northland Capital Markets as placement agent and Oppenheimer and Wedbush as advisors.
  • Shares jumped roughly 24.5% after the partnership announcement, then fell about 14% following news of the equity raise, reflecting mixed investor sentiment.
  • Serve reports operational momentum with more than 1,000 robots in service and a goal of 2,000 by year-end, over 100,000 deliveries completed, and ongoing losses alongside very low 2024 revenue as reported.