Concerns grow over Spac deluge

Nasdaq_new_york_alamy_575_375
By Aidan Gregory
15 Apr 2021

The relentless flow of special purpose acquisition companies coming to the market is causing unease among investors about market saturation, with $140bn raised so far this year. Only the highest quality sponsors are likely to succeed in bringing new Spacs to IPO from now on, writes Aidan Gregory.

A staggering amount of capital has been raised by blank cheque companies over the past year, by a glittering array of sponsors, including leading figures in the banking and technology industries on both sides of the Atlantic.

This week Tio Tech, a new Spac, raised $300m on the Nasdaq, ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial