Nvidia-backed investment robot company Serve Robotics, SERV surges nearly threefold in a week

The AI leader Nvidia announced that it holds a 10% stake in the robotics company Serve Robotics with the stock code: SERV. The price of SERV has skyrocketed from $2.65 last week to a high of $13.89, marking a weekly increase of over 270%.

Serve Robotics, a Robot Company Spun Off from Uber

Serve Robotics, with stock code SERV, is a robot company spun off from Uber in 2021. With support from Uber and Nvidia, it has developed advanced AI-driven, low-emission sidewalk delivery robots, aiming to make deliveries sustainable and economical.

Originally under Uber, its primary business mission was to provide "last-mile" delivery robots for Uber's food delivery platform. Uber is not only Serve Robotics' largest single shareholder with nearly 14% ownership but also its largest customer.

In May of this year, Serve Robotics announced that some Uber Eats customers in Los Angeles can now receive food through Serve robots ordered on the Uber Eats app. Serve Robotics handles the delivery, and once the robot arrives, customers can use the Uber Eats app to unlock the robot and retrieve their orders from the secure compartment.

Nvidia Announces Ownership of 10% of SERV Shares

According to reports, Nvidia disclosed in filings with the U.S. Securities and Exchange Commission (SEC) that it purchased 62,500 shares of Serve Robotics at $4 per share in July 2023, and in April of this year, converted convertible bonds into approximately 1.1 million shares at $2.42 per share. Following this capital increase, Nvidia now holds around 3.7 million SERV shares, representing a stake of approximately 10%. Under U.S. securities laws, Nvidia is restricted from selling the shares for 6 months.

In addition, Uber holds approximately 14% of SERV shares, and convenience store chain 7-11 and German food delivery platform Delivery Hero are early investors in the company.

Since Nvidia announced its ownership of Serve Robotics shares last week, SERV's stock price has surged from $2.65 last week to a high of $13.89, marking a weekly increase of over 270%.