Kin Insurance Inc., an insurance-technology startup that counts golfer Rory McIlroy among its investors, has agreed to go public through a merger with Omnichannel Acquisition Corp., a blank-check firm led by Matt Higgins, a longtime investor who has appeared as a “Shark Tank” judge. “We were searching for a digitally fueled business that was going… Continue reading Kin Insurance to Go Public Via Matt Higgins SPAC Deal
Tag: SEC accounting SPAC
Wall Street Grapples with New SPAC Equity Contracts after SEC’s Crackdown
Wall Street accountants and lawyers are trying to figure out new equity agreements to lure investors back to the blank-check company market after the U.S. regulator cracked down on the use of warrants, six industry executives told Reuters. They are discussing jettisoning warrants issued by special-purpose acquisition companies, or SPACs, in favor of rights agreements,… Continue reading Wall Street Grapples with New SPAC Equity Contracts after SEC’s Crackdown
Tick-Tock: SPACs Increasingly Under Pressure to Find Quality Mergers
Blank-check companies, aka special-purpose acquisition companies (SPACs), already have stiff competition in finding firms with which to merge. Now, with recent share-price declines and a ticking clock to take companies public, the pressure to do so is ramping up even more. The new challenges for creators of SPACs result in part from the abundance of… Continue reading Tick-Tock: SPACs Increasingly Under Pressure to Find Quality Mergers
‘Shark Tank’ Judge’s SPAC in Talks to Merge with Insurer
Home-coverage startup Kin Insurance is in talks to go public via Omnichannel Acquisition Corp., a special purpose acquisition company led by recurring “Shark Tank” guest judge Matt Higgins, according to people with knowledge of the matter. The combined entity is set to be valued at over $1 billion, one of the people said. Terms could… Continue reading ‘Shark Tank’ Judge’s SPAC in Talks to Merge with Insurer
SPAC Hot Streak Put on Ice by Regulatory Warnings
Investors are cooling to one of the hottest bets on Wall Street as new regulatory scrutiny of special-purpose acquisition companies cuts the flood of new issues to a trickle while share prices tumble. SPACs have raised about $100 billion so far this year, more than last year’s record of $83.4 billion, which itself was more… Continue reading SPAC Hot Streak Put on Ice by Regulatory Warnings
SPAC Boom Faces New SEC Threat with Accounting Crackdown
U.S. regulators are throwing another wrench into Wall Street’s SPAC machine by cracking down on how accounting rules apply to a key element of blank-check companies. The Securities and Exchange Commission is setting forth new guidance that warrants, which are issued to early investors in the deals, might not be considered equity instruments and may… Continue reading SPAC Boom Faces New SEC Threat with Accounting Crackdown