A Monday Deal to Start the Week
Bright Machines, an industry leader in intelligent, software-defined manufacturing, is being taken public by SCVX (NYSE: SCVX) in a deal valued at $1.1b. The deal is supported by a $205m PIPE. The deal will provide approximately $435m in cash to the newly formed company.
In an attempt to be more aligned with shareholders, XN, SCVX's sponsor, has agreed to restrict the selling of their shares based on until the earlier of either meeting equity performance targets -- $12 for any 20 trading days out of 30 consecutive trading days -- or one year post closing.
Investors will likely find this to be a positive, but on the lighter side of long-term commitments so it won't may not have much beneficial impact.
15 Merger Votes Over 30 Days
The next wave of SPAC merger votes is set with 15 deals set to be voted on in the next 30 days. With most trading above NAV (if some barely) SPAC investors will feel confident the votes will be there to get the deal done. And, with the SEC accounting issues around handling warrant valuations mostly worked through, expect a few more to come into that window.
The current set includes a number of high profile SPAC sponsors and names including Chamath Palihapitiya's IPOE which is taking Social Finance public. Chamath has come to represent both the good and bad of SPACs and how SoFi performs will go a long way towards defining how he and SPACs are viewed for the moment. Notably his first, IPOA / Virgin Galactic continues to be under pressure and IPOC / Clover remains significantly down following recent short seller research and potential legal issues. With IPOB / OpenDoor performing well post de-SPAC and IPOF still searching for a target, IPOE / Social Finance could tilt the balance back toward the positive.
Upcoming SPAC Merger Votes
Jun 16 | $ 10.08 | CRSA - Crescent Acquisition Corp --> LiveVox TopCo, LLC
Jun 15 | $ 9.95 | FAII - Fortress Value Acquisition Corp. II --> ATI Physical Therapy
Jun 11 | $ 13.96 | ACTC - ArcLight Clean Transition Corp --> Proterra Inc
Jun 10 | $ 9.94 | VGAC - VG Acquisition Corp --> 23andMe, Inc.
Jun 09 | $ 10.07 | THBR - Thunder Bridge Acquisition II, Ltd --> Indie Semiconductor
Jun 09 | $ 10.08 | CAPA - HighCape Capital Acquisition Corp --> Quantum-Si
Jun 08 | $ 10.09 | ARYA - Arya Sciences Acquisition Corp III --> Nautilus Biotechnology, Inc.
Jun 04 | $ 10.04 | GIX - GigCapital2, Inc. --> Cloudbreak Health, LLC
Jun 04 | $ 12.91 | DFHT - Deerfield Healthcare Technology Acquisitions Corp. --> CareMax Medical Group, LLC
Jun 03 | $ 13.00 | JIH - Juniper Industrial Holdings, Inc. --> Janus International Group, LLC
Jun 03 | $ 10.05 | TSIA - TS Innovation Acquisitions Corp --> Latch, Inc.
Jun 02 | $ 13.25 | JWS - Jaws Acquisition Corp --> Cano Health, LLC
May 28 | $ 9.98 | STIC - Northern Star Acquisition Corp --> Barkbox, Inc.
May 27 | $ 14.94 | IPOE - Social Capital Hedosophia Holdings Corp V --> Social Finance, Inc.
May 18 | $ 9.78 | ATAC - Altimar Acquisition Corporation --> Blue Owl
Barry Sternlicht and his Jaws Acquisition Corp (JWS) will finally close their deal with Cano Health. Sternlicht is also a prolific SPAC sponsor with six SPACs working their way through the pipeline. Though, unlike Chamath, he doesn't have any de-SPACs yet and three of his SPACs remain pre-IPO. So, Cano Health will be his first to test the de-SPAC market, but given it is trading at $13.25 it seems to have continued investor belief in the narrative and barring big, negative news it will be expected to trade well after it de-SPACs. That said, watch for some air to be let out as early investors look get out of the position and into new opportunities.
Tomorrow's vote on the Altimar Acquisition (ATAC) / Blue Owl deal will be closely watched. It is interesting both because it is trading significantly below NAV at $9.78 and it is a roll-up of two separate companies. SPAC roll-ups don't happen often so there isn't a lot of precedent, but often the simpler the narrative the easier it is for investors to buy in.
Friday's Biggest SPAC Gainers
9.84% ~ $ 11.61 | CMII - CM Life Sciences II Inc. (Announced)
7.15% ~ $ 13.79 | MUDS - Mudrick Capital Acquisition Corporation II (Announced)
6.46% ~ $ 11.37 | FSRV - FinServ Acquisition Corp (Announced)
6.08% ~ $ 14.14 | TPGY - TPG Pace Beneficial Finance Corp (Announced)
5.58% ~ $ 14.76 | SSPK - Silver Spike Acquisition Corp. (Announced)
5.53% ~ $ 10.87 | SRAC - Stable Road Acquisition Corp. (Announced)
5.04% ~ $ 14.58 | RICE - Rice Acquisition Corp. (Announced)
4.96% ~ $ 13.96 | ACTC - ArcLight Clean Transition Corp (Announced)
4.00% ~ $ 17.94 | CCIV - Churchill Capital Corp IV (Announced)
3.98% ~ $ 11.50 | AGC - ALTIMETER GROWTH CORP (Announced)
Friday's Biggest SPAC Decliners
-10.33% ~ $ 23.01 | BRPA - Big Rock Partners Acquisition Corp (Announced)
-6.19% ~ $ 9.85 | GTPA - Gores Technology Partners, Inc (Pre-Deal)
-5.31% ~ $ 9.80 | OHPA - Orion Acquisition Corp. (Pre-Deal)
-3.09% ~ $ 9.75 | MBTC - Nocturne Acquisition Corporation (Pre-Deal)
-2.17% ~ $ 9.90 | RKTA - Rocket Internet Growth Opportunities Corp. (Pre-Deal)
-1.87% ~ $ 9.77 | LIII - Leo Holdings III Corp (Pre-Deal)
-1.73% ~ $ 10.25 | ARYD - ARYA Sciences Acquisition Corp IV (Pre-Deal)
-1.41% ~ $ 9.78 | ATAC - Altimar Acquisition Corporation (Announced)
-1.21% ~ $ 9.79 | HCII - HUDSON EXECUTIVE INVESTMENT CORP. II (Pre-Deal)
-1.15% ~ $ 10.35 | BLSA - BCLS Acquisition Corp. (Pre-Deal)
-1.11% ~ $ 9.81 | JYAC - Jiya Acquisition Corp. (Pre-Deal
More from Boardroom Alpha
More from Boardroom Alpha For ongoing tracking, analytics, and data on SPACs checkout Boardroom Alpha's SPAC Data and Analytics service.
- SPACs End Week on a High (Kind of)
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- Exclusive SPAC Q&A: Better World Acquisition Corp (BWAC)
- SPACs Remain Discounted, Dell prices IPO
- SPAC Deals Lacking Punch + SWBK Taking Bird Public
- SPAC Stocks Continue Slide Despite M&A Activity
- Two Big SPAC Deals (SRNG, AURC) After Monday's Mess
- SPAC Deals and IPOE/SoFi Momentum
- Live Oak Acquisition II (LOKB) Taking Navitas Public in $1B SPAC Deal
- ACON S2 (STWO) Taking ESS Public in $1.1B SPAC Deal
- SPACs Get Beat Up Again
- Will Honest's IPO Take More Shine off SPACs?
- Tech Sell Off will Hit SPAC Stocks Hard
- Tuesday SPAC Ideas
- SPAC Activity Returns, Met with Lukewarm Response
- SPAC IPOs Return, and Flop
- A (small) Pickup in SPAC Activity & De-SPAC Returns
- Remember SPACs? Market Focuses on Earnings
- Cathie Wood's ARK Sells former Chamath SPAC Virgin Galactic
(Disclaimers: this is not investment advice. The author may be long one or more stocks mentioned in this report.)