DoorDash plans to sell public shares
NEW YORK — Delivery giant DoorDash Inc. is planning to sell its stock to the public, capitalizing on the growing trend of consumers embracing app-based deliveries as much of the world stays home during the pandemic.
The San Francisco-based company filed papers signaling its intent for initial public offering Friday.
"Technology has changed consumer behavior and driven a wave of demand for convenience," the company said in its prospectus. "Recent events have further accelerated these trends, pulling the future of e-commerce forward for businesses large and small."
Its revenues reflect the explosion in demand for delivery. Last year, DoorDash generated $885 million in revenue. During the first nine months of 2020, revenue more than doubled that to $1.9 billion. It was already growing before the pandemic. In 2018 it brought in $219 in revenue.
But DoorDash has lost money each year since its founding and the company warned potential investors the losses could continue as the company anticipates increasing expenses. It had a net loss of $667 million in 2019 and $149 million in the first nine months of 2020.
DoorDash said it expects to spend substantial resources developing its platform, including "expanding our platform offerings, developing or acquiring new platform features and services, expanding into new markets and geographies, and increasing our sales and marketing efforts."
DoorDash has more than 18 million customers and 1 million "dashers" who deliver food in the U.S., Canada and Australia. It has more than 390,000 merchants in its network.
Paper stick maker picks Upstate SC
FOUNTAIN INN — New jobs are coming to the South Carolina Upstate.
Setterstix Corp., a paper stick manufacturer, announced this week plans to establish operations in Laurens County. The $11.7 million investment will create 80 new jobs.
Founded in 1938, Setterstix manufactures and ships more than 17 billion paper sticks throughout the U.S., Canada and overseas every year. The company makes paper sticks for candy, cotton swabs, health care and novelty items. Its South Carolina facility will be in Fountain Inn and is expected to be completed by February.
Wholesale prices are higher in Oct.
WASHINGTON — U.S. wholesale prices rose moderately in October as food costs jumped by the largest amount in five months.
The Labor Department reported Friday that its producer price index, which measures inflation pressures before they reach the consumer, increased 0.3 percent last month, slightly lower than the 0.4 percent gain in September.
Food costs rose 2.4 percent, for the biggest increase since a 5.6 percent surge in May that was tied to shortages caused by the COVID-19 pandemic.
The benign readings on inflation are a welcome sign at the Federal Reserve, which will feel comfortable staying put with ultra-low interest rates for a some time. Some economists believe the Fed won't begin raising rates until 2024.
Amazon to open third Miss. center
CANTON, Miss. — Amazon is opening a third facility in Mississippi for sorting and processing customer orders.
The new fulfillment center in Canton will be the first to feature Amazon's robotics technology. Associates will work alongside robots packing and shipping books, toys and household items.
It will create more than 1,000 full-time jobs in the area, according to the Mississippi Development Authority, a state agency tasked with recruiting new businesses.
The facility will be 700,000 square feet and at least four stories tall. It is expected to be operational by 2021.
GM recalls Bolt e-cars over fire risk
DETROIT — General Motors is recalling nearly 69,000 Chevrolet Bolt electric cars worldwide because the batteries have caught fire in five of them.
The company says it doesn't know yet what's causing the fires, but engineers are working around the clock to figure it out. Two people have suffered smoke inhalation due to the blazes.
Bolt executive chief engineer Jesse Ortega says dealers will install software that limits charging to 90% of the battery's capacity until a permanent fix is developed.
The recall covers Bolts from the 2017-2019 model years, including nearly 51,000 in the U.S.
The company said it would start notifying dealers and customers of the interim recall immediately.