FAST FIVE: SPAC Bubble Pops: Flood Of New SPAC IPOs Hits A Brick Wall
The plunge in deal making follows weak trading in these vehicles, slow progress in their search for acquisitions and outperformance by traditional listings, not to mention various warnings by the SEC itself.
https://t.co/pzowsgP2Oh – SEC New York (@NewYork_SEC) April 7, 2021 Just three SPACs have listed this week, including two on Wednesday.
More than 100 or about a third of SPACs that went public this year are trading below their IPO price as investors wait for news of an acquisition.
The trouble in SPACs comes alongside other signs of weakness in the global IPO market even as the S&P 500 continues to trade near record highs.
Riley, Lake Street, Northland Shares -2.2% postmarket Seller: Company Otonomy (OTIC) Bookrunners: Cowen, Piper Sandler Shares -9.8% postmarket Seller: Company Tyler Durden Wed, 04/07/2021 – 21:40.