A Special Purpose Acquisition Company (SPAC) is a type of publicly traded investment vehicle that is created specifically to acquire or merge with another company. SPACs are also sometimes called “blank check companies” because they are set up with the sole purpose of raising capital through an initial public offering (IPO) to later identify and merge with an existing private company.
49 Corporate Law Firms Trash SPACs-Are-Investment-Companies Lawsuits
A group of 49 corporate law firms has now issued a joint statement decrying the lawsuits and trashing the plaintiffs’ arguments that SPACs are investment companies merely because the SPACs invest their IPO proceeds in trust accounts while seeking a merger partner.
The Pied Piper of SPACs
Chamath Palihapitiya says that the investment tool lets ordinary people get rich off startups. It may be hype—but hype can be its own economic engine.
Redbox Looks to Go Public Again in SPAC Deal
Who says the DVD is dead? Not DVD rental giant Redbox, which believes the discs not only have life to them, but also that they’d make a good investment.
Why SPACs Could Shake Up the Home-Based Care M&A Environment
Currently, there are 28 new SPACs hitting the market on a weekly basis, according to Seeking Alpha. There have been hundreds of them created in just the last few years, and a bevy of those have expressed at least some interest in health care, according to Mark Kulik, the managing director of M&A advisory firm The Braff Group.
Social Capital Hedosophia Stock Has Long-Term Value On Its Side
Despite the pullback in growth stocks and special purpose acquisition company (SPAC) holdings, that shouldn’t kill the enthusiasm for Social Capital Hedosophia Holdings (NYSE:IPOE). IPOE stock is the holding company that should eventually turn into SoFi.
AlphaRank SPAC Monitor – April 2021
The great SPAC frenzy that began in July 2020 officially ended in March 2021. Over these nine months, there were 509 SPAC IPOs that raised an aggregate $167 billion, representing $18.6 billion per month on average.
Foxconn’s Next U.S. Move Would Be an Electric-Vehicle SPAC
A spinoff and overseas listing of its new division can help build credibility as a reliable partner.
WeWork: An Intriguing Investment For A Post-COVID Workforce
Remote and hybrid work will be a permanent shift in the labor force. WeWork was surprisingly resilient in 2020 and managed to cut billions in excess costs.
SPACs, Like Greensill, Run Into Adam Smith’s Problem
There’s nothing wrong with the idea of a SPAC, but there is a limitation to how often the technique will work. It’s the same problem that Greensill ran into with its promise of revolutionizing corporate finance.
SPACs: A Convenient Anesthesia for FOMO
As with most financial market crazes, the fear of missing out motivates buying and selling en masse. The market’s current fantasy with special-purpose acquisition companies (SPACs), a financial instrument mired in a suspicious past, may just be another instance of this phenomenon.
Grab’s SPAC adventure tells bigger tale of our FOMO times
Even the least sentimental of investors must be heartened by Grab’s journey from Kuala Lumpur garage to $40 billion sensation drawing global attention to Southeast Asia.
‘Frustrated’ Limited Partners Are Questioning PE-Sponsored SPACs
Private equity firms that sponsor blank-check companies raise the potential for conflicts of interest with their own funds, according to PitchBook.
What’s behind Grab’s reported SPAC listing
Grab’s decision to opt for an SPAC listing rather than an IPO may seem strange to some, but it is a timely and strategic move, says Li Jianggan.
Investors Aren’t Thrilled About the Ajax-Cazoo Merger, But It May Yet Offer Value
Dan Och’s blank check company Ajax (NYSE: AJAX) has been one of the hot SPACs (special purpose acquisition companies) to watch ever since the SPAC craze took off in 2020.
Interest in SPACs—Special Purpose Acquisition Companies—is booming…and so is the risk of litigation.
Following these ten steps will prepare SPAC boards, sponsors, and advisors for the likely shareholder suits and potential regulatory investigations that are increasingly becoming part of the SPAC landscape.
SPAC spree presents opportunities for insurance industry
Special purpose acquisition companies (SPACs), otherwise known as blank-check firms, have been making waves in the insurance industry lately.
Barry Ritholtz: How to Pick a SPAC (If You Must)
Of the plethora of special-purpose acquisition companies “so many people are cranking out” in “a land rush,” only “a handful are good,” Barry Ritholtz says.
NFTs, Bitcoin, SPACs, Sneakers: Too Many Crazes to Count
The use of special purpose acquisition companies to take startups public has hit astronomical levels. Of the 302 IPOs so far this year, 80% are SPACs.
SPACs for Space: Are Startups Ready for the Public Markets?
A spree of space startups — Rocket Lab, Spire Global, BlackSky, Momentus, Astra, and AST SpaceMobile — have recently announced plans to go public through Special Purpose Acquisition Companies (SPACs), a method of financing that has become very popular in recent months.