Accredited Deal Room
What is an SPV?
SPV stands for Special Purpose Vehicle, a legal entity that is created with the specific purpose of raising capital to invest in a specific offering. Most SPVs through the Republic Deal Room are structured as a limited partnership company with a General Partner, Investment Adviser, and other investors who act as Limited Partners (LPs).
The SPV pools capital from the investors who act as Limited Partners and the funds are used to invest in a single portfolio company, by purchasing the securities in a private placement in accordance with Regulation D of the Securities Act 1933.
Some of the offerings on the Deal Room platform are under the SPV structure. Investments in an SPV are not in a specific company itself, rather, SPV takes a position in a company.