Special purpose vehicles (SPVs) have shifted credit risk away from high-quality suppliers onto their customers through off-take agreements; the suppliers are not liable for the borrowing unless the customer cannot pay, in which case the debt can flow back onto the supplier's balance sheet.
causalpending
Speaker
Mike GreenEvidence Quote
“the most nefarious component of it were called the special purpose vehicles, uh which effectively have, you know, the underwriting coming from the high quality high quality supplier. Um and they are not liable for it because their customers have actually done the borrowing. Unless, of course, the customer can't pay. And then that debt can flow onto the balance sheet.”
Created: 8/12/2026, 6:11:43 PM
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