Serve Robotics Shares Plunge Over 14% Following Direct Listing

Serve Robotics shares fell by over 14% in pre-market trading following its announcement of a proprietary initial public offering (IPO). The company stated that it has entered into agreements for the sale of 4,210,525 common shares with certain institutional investors. This transaction is expected to generate approximately $80 million in gross proceeds before deducting fees and other related expenses. The IPO is planned to close around January 7, 2025, subject to the fulfillment of all customary closing conditions. Serve Robotics indicated that the net proceeds from this offering will be used for general corporate purposes, including strengthening working capital.