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 it 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 risks have been identified below with additional risks included in the Offering Statement:
This investment is illiquid given the stage of the venture and given that the financing arrangements for the invested capital are going out in the form of loans. Investors could not expect to access their principal before the end of the proposed term of investment (5-15 years).
Underlying Asset Risk
This investment relies on the performance of a set of underlying assets: loans to clean energy projects for energy efficiency or new/existing projects. There is a risk that these projects may fail. SolarShare has carefully reviewed all of their assets and have identified risk mitigation strategies to reduce the chance of a reduction in efficiency and profitability.
Some, although not all, of the projects are subject to the provisions of the Ontario Feed in Tariff (FIT) program.
SolarShare is an early stage venture with a relatively short operating history. There is a risk that they will not be able to achieve their business objectives, including their revenue and investment targets. The costs of operating an investment platform and associated regulatory requirements are significant. However, SolarShare has completed a portfolio of over 6 MW of installed capacity which is valued at over $35 million.
This type of investment has substantial risk. Investors should make an investment only if they are prepared to not receive any return on their investment and/ or to lose their investment in its entirety.