Silicon Valley Acquisition SVAQ

Silicon Valley Acquisition Corp. is a blank check company formed to effect a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses. The company has no ongoing operations and exists solely to raise capital through a public offering and then identify a suitable target for a business combination. It intends to use the cash from its initial public offering, the proceeds from private placement units, its own shares, debt or any combination thereof to complete the transaction. The sponsor of the company is Silicon Valley Acquisition Sponsor LLC, which provided the initial seed capital and continues to support the search for a target.

The company has not engaged in any operations and has not generated any operating revenue to date. Its only source of income is non operating interest earned on marketable securities held in the trust account established after the initial public offering. The trust account currently holds approximately $215,000,000, which consists of the gross proceeds from the initial public offering, the private placement and the over allotment option. The company expects to begin generating operating revenue only after it completes a business combination with a target business. Until that time, it will incur expenses related to being a public company, including legal, accounting, auditing and due diligence costs. The company also anticipates receiving additional interest income as the balance in the trust account remains invested.

As a newly formed special purpose acquisition company, Silicon Valley Acquisition Corp. operates in a competitive landscape populated by numerous other blank check entities seeking suitable acquisition targets. Its competitive position depends on the expertise of its sponsor, the size of the trust account and the flexibility to use cash, shares or debt as consideration for the transaction. The company benefits from the underwriting arrangements made with Clear Street, which placed a portion of the underwriting fees in the trust account to be released upon completion of a business combination. Management believes that the ability to structure the deal using multiple forms of consideration provides an advantage in negotiating with potential targets.

The company currently has no customers because it has not commenced any operational activities. Following a successful business combination, it will serve whatever customer base the acquired business or businesses serve. The nature of those customers will depend entirely on the industry and operations of the target company that is ultimately combined with Silicon Valley Acquisition Corp.