The speculative bonanza in special-purpose acquisition companies, better known as SPACs, appears to be dead. Gary Gensler wants to make sure it doesn’t come back to life.
Tag: blank-check companies
U.S. Financial Firms Push Back on SEC Bid to Rein-In SPACs
Financial industry groups in the United States are attempting to weaken a draft Securities and Exchange Commission (SEC) rule aimed at reining in special purpose acquisition companies, or SPACs, claiming it will kill the industry. The American Securities Association (ASA), the SPAC Association, and the CFA Institute are among the organizations warning that the SEC’s… Continue reading U.S. Financial Firms Push Back on SEC Bid to Rein-In SPACs
Global Banks Withdraw from SPACs After Creating Blank-Check Frenzy
Only a few years after helping to create a massive market for blank-check companies, banks are backing away from the deals, fearful of the risks. According to Bloomberg, Goldman Sachs Group Inc. is ending its involvement with the majority of the special purpose acquisition companies it took public and halting new SPAC issuance in the… Continue reading Global Banks Withdraw from SPACs After Creating Blank-Check Frenzy
SPACs Are Having Their Day — In Court
Blank-check companies are booming again—in the courts. Two law professors are aiming at high-profile targets, filing suits that question the legality of a specific type of special-purpose acquisition company. Among them are billionaire William Ackman’s $4 billion Pershing Square Tontine Holdings Ltd., Go Acquisition Corp, co-founded by veteran entrepreneur Noam Gottesman, and E.Merge Technology Acquisition… Continue reading SPACs Are Having Their Day — In Court
Some Insurtech Companies Get Multibillion-Dollar Valuations
A number of insurtech startups are coming to market through blank-check companies. Here are valuations of several that have announced special purpose acquisition company (SPAC) plans. COMPANY IMPLIED ENTERPRISE VALUE CCC Information Services Inc $7.0 billion Hippo… Continue reading Some Insurtech Companies Get Multibillion-Dollar Valuations
SPACs Bolster the U.S.’s Global Lead in IPOs
The boom in blank-check companies earlier this year has lured companies to list in New York and has cut into Europe’s share of the global market for initial public offerings. Signa Sports United, a Berlin-based sports e-commerce and technology platform, is among the latest looking at this route through a special-purpose acquisition company, or SPAC.… Continue reading SPACs Bolster the U.S.’s Global Lead in IPOs
U.S. Watchdog Mulls Guidance to Curb SPAC Projections, Liability Shield
The U.S. securities regulator is considering new guidance to rein in growth projections made by listed blank-check companies, and clarify when they qualify for certain legal protections, according to three people with knowledge of the discussions. The previously unreported measures being weighed by staff at the Securities and Exchange Commission (SEC) would escalate its crackdown… Continue reading U.S. Watchdog Mulls Guidance to Curb SPAC Projections, Liability Shield