Shares of Mobileye Global (MBLY 3.43%) climbed on Wednesday after the autonomous driving technology provider struck a deal to acquire Mentee Robotics for $900 million in cash and stock.
By the close of trading, Mobileye's stock price was up less than 1% after rising as much as 17.7% earlier in the day.
Image source: Mobileye and Mentee Robotics.
Bringing together robotics and automotive AI
Under the terms of the deal, Mobileye would purchase Mentee for roughly $612 million in cash and up to 26.2 million shares of Mobileye. The transaction is projected to close in the first quarter of 2026.
The merger would combine Mobileye's mobility tech and manufacturing network with the robotics start-up's simulation-based humanoid platform. Mentee is designing its robots to be cost-efficient and broadly functional, with a rapid learning system that requires fewer human demonstrations.
NASDAQ: MBLY
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Mobileye wants to quicken Mentee's pace in the AI race
The two companies intend to fast-track Mentee's go-to-market plans by working together to achieve performance, safety, and cost requirements. Mentee expects to deploy its first proof-of-concept systems to customers later this year.
"Joining forces with Mobileye gives us access to unparalleled AI infrastructure and commercialization expertise, accelerating our mission to bring scalable, safe, and cost-effective humanoid solutions to market," Mentee CEO Lior Wolf said in a press release.
