Regal Partners - Overview

Regal Partners

Regal Partners, formerly known as The Regal Group, LLC, was established in 2006 by Managing Partners Juan Alaya and Ana Esperza. Alaya, a former international investment banker, and Esperza, an immigration attorney, aimed to facilitate foreign investment funds into the United States through the Government’s EB5 program, focusing on capital-intensive commercial ventures.

However, the original partnership faced several challenges. The EB5 program had regulatory complexities, tax constraints, and specific demographic or geographical criteria that needed to be met. Additionally, the program eliminated many potential investments, limiting the partnership’s base to Latin American investors. Furthermore, not all foreign investors were motivated by obtaining U.S. citizenship.

Recognizing the need for a solution, Regal Partners decided to adapt its business model to meet the demands of foreign investors while complying with OPEC or Patriot Act laws. This adaptation led to the birth of Regal Partners, which brought together investors from Asia, the Middle East, Europe, and Latin America in a partnership alliance. Through a pooled equity trust, the partnership exchanged securities by divesting commitments through American special purpose vehicles.

To ensure tax efficiency, capital commitments could flow tax-free through Regal Partners’ International Business Corporation. United States corporations were acquired using debentures that could be converted into equity for foreign investors.

In summary, Regal Partners evolved from its initial focus on the EB5 program to become a global partnership alliance that provided foreign capital to companies and investment opportunities in the United States. By overcoming barriers and adapting its business model, Regal Partners successfully met the demands of foreign investors while complying with relevant laws and regulations.