Delivery robot SERV is about to go public, with Nvidia and Uber as shareholders

Serve Robotics, a developer of autonomous delivery robots, will be listed on Nasdaq on April 18th with a price of $4.5, raising $40 million. Based on this offering price, Serve Robotics expects a fully diluted market value of $181 million.

The $4.5 pricing is based on Serve Robotics' stock closing price on the over-the-counter (OTC) market on April 5th (code: SBOT). After listing on Nasdaq, the stock code will change to (SERV).

The company's main focus is on "last-mile delivery."

Uber is a major shareholder

As a spin-off company of Uber (UBER), Serve Robotics collaborates with Uber through Uber Eats. Customers place orders, and Serve Robotics robots deliver the orders.

Uber Eats is a food delivery service launched by Uber, the first extension product of Uber, providing food delivery services within minutes using the network. Uber Eats partners with local restaurants in cities around the world and allows users to order food online through the app.

Nvidia previously invested $10 million

In 2022, Serve Robotics received a $10 million investment from chip manufacturing giant Nvidia, exclusively.

This investment is Nvidia's first investment in sidewalk delivery and is part of a long-term collaboration between the two companies to advance robot driving technology.

Serve Robotics currently uses Nvidia's Jetson edge artificial intelligence platform to achieve autonomous robot movement with hardware and computing modules. Robots can operate within specific geographic areas without the need for remote operators to ensure safety. The company also uses Nvidia's perception and mapping tools to enable robots to receive real-time location and navigation information.

Like most autonomous vehicle developers, Serve Robotics conducted multiple rounds of simulation testing before deploying models on the road, using a large amount of map data, cityscape photos, and Nvidia's synthetic data generation tools for training perception models.

The $10 million investment is relatively large compared to Nvidia's holdings in several listed companies, as Nvidia holds over $100 million in ARM, with other investments in the million-dollar range

Performance: Still in the stage of burning money, with very low revenue

According to the prospectus, the revenue in 2023 was only $200,000, while in 2022 it was $100,000, with losses of $24.81 million and $21.85 million respectively.