Serve Robotics Inc. Enters into Equity Distribution Agreement with Three Securities Firms

Serve Robotics Inc. (NASDAQ: SERV) recently announced the signing of an equity distribution agreement with Northland Securities, Inc., B. Riley Securities, Inc., and Ladenburg Thalmann & Co. Inc. This agreement, dated November 7, 2024, allows Serve Robotics to offer and sell shares of its common stock, with aggregate gross sales proceeds of up to $100,000,000, through an “at the market” equity offering program.

Under the terms of the Distribution Agreement, Serve Robotics will have the discretion to determine the parameters for the sale of shares, including the quantity of shares to be issued, the timeframe for sales, limitations on daily sales, and any minimum price requirements. The designated agents, Northland Securities, Inc., B. Riley Securities, Inc., and Ladenburg Thalmann & Co. Inc., will oversee the sale of shares through various methods, including “at the market” offerings as defined by Rule 415 under the Securities Act of 1933.

As per the Distribution Agreement, the Agents are entitled to receive a commission of up to 3% of the gross proceeds from the sale of shares, along with reimbursement for certain expenses incurred. Serve Robotics retains the freedom to suspend offers or sales at any time and is not obligated to sell any shares under this agreement. The offering will conclude upon the sale of all designated shares or termination as outlined in the agreement terms.

Representations, warranties, and covenants typical of such transactions are included in the Distribution Agreement. Serve Robotics has also agreed to indemnify the Agents against specific liabilities within customary limits. The shares will be issued in accordance with the company’s shelf registration statement on Form S-3 (File No. 333-282389), effective as of October 3, 2024.

The Distribution Agreement, along with its associated legal opinion from Orrick, Herrington & Sutcliffe LLP, is available as exhibits in the current report on Form 8-K filed with the Securities and Exchange Commission. This report serves as a notification of these developments and does not constitute an offer to sell or a solicitation to buy any securities discussed.

Serve Robotics Inc.’s Chief Financial Officer, Brian Read, signed and submitted the report on behalf of the company on November 7, 2024.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Serve Robotics’s 8K filing here.

Serve Robotics Company Profile

Serve Robotics Inc designs, develops, and operates low-emission robots that serve people in public spaces with food delivery in the United States. It builds self-driving delivery robots. The company was formerly known as Patricia Acquisition Corp. and changed its name to Serve Robotics Inc in July 2023.