VCs are so eager for AI startups, they’re buying into each others’ SPVs at high prices

Posted under: AI technologies
Date: 2024-08-27
VCs are so eager for AI startups, they’re buying into each others’ SPVs at high prices

The secondary market is where existing shareholders, such as startup employees or VCs who bought shares directly from a startup in a fundraising round, can sell some of their shares to others. Yet, buying into a VC’s SPV is not buying the startup’s stock. It’s buying shares of the SPV vehicle that controls a certain number of the startup’s shares.

Read more at: techcrunch.com