All private securities listed through online investment platforms and Exempt Market Dealers (EMDs) like SVX are likely to carry more risk than those available on the public markets. Our goal is to make you aware of those risks before making an investment. For further details on the risks in the private markets, refer to the SVX Risks section. Some of the offering specific risks are identified below:
Liquidity Risk: This investment has substantial liquidity risk. As this is an early stage private equity investment in a pre-revenue, pre-commercial venture, there is no reasonably expected exit event in the near-term future.
Intellectual Property Risk: Genecis relies heavily on its IP for product success and protection. This is particularly crucial given Genecis uses bacteria for its growth multiplier.
Business Risk: As Genecis is a pre-revenue and pre-commercial biotech venture, with most of its performance to date related to R&D, there remains uncertainty in confidently estimating how Genecis will perform once out of pilot phase.
Market Adoption Risk: Genecis will not begin commercial sales of its PHA product until 2020. There is lower market adoption risk in its organic waste collection and PHA production revenue stream, as it has lined up multiple industry partners and LOIs.There remains significant R&D to bring its SynBio platform to market, as the business model, potential sales list, and software/hardware components have yet to be clearly identified.