The SPAC market continues to trundle along in the rut that its created for itself -- no change in narrative now and not in the foreseeable future. The play remains yield + upside. This has been the play for some time now and will continue to be the play until something dramatic changes.
There is very little at the moment that could realistically change the dynamic. While the SEC is getting more involved, it is mostly for the positive. The dark underside of SPACs -- inflated forecasts, scandalous CEOs, trucks that only go downhill, etc. -- is already known and isn't a shock to anyone anymore. Half the pre-deal SPACs won't suddenly disappear leaving a more reasonable supply relative to demand either. The SPAC gamma squeeze trade has come and, likely, gone.
So, what is the next big catalyst? Well, on the downside, "peak deal" still seems the one to watch out for. There are so many SPACs vying for too few great, public-ready companies that there is a real risk that valuations get really out-of-whack and that spirals. But, that still remains a ways off as most pre-deal SPACs still have plenty of time to find a deal before the pressure gets too great.
For today's SPAC action, it was another tough SPAC-to-public-company transition today as DMYI officially started trading as IONQ. IONQ (don't let the image below fool you, the ticker changed) dropped just over -13% on the day and ended around $9.20. It's a sharp drop for the quantum computing company, but sponsor dMY has a strong track record and long-term investors likely won't be swayed from their belief in the opportunity.
It was a big day for the dMY team as they also saw their latest SPAC, DMYS, price and begin trading. The unit closed the day up about 1.3%.
October SPAC Votes
October's SPAC votes are coming up quick. Will the gamma trade be back on or will we see a whole new trade dynamic happening? What is almost for certain is that redemptions will continue to stay high. Though, a number of SPACs with upcoming votes are currently trading just about or above NAV. So, it will be interesting to watch it play out.
Oct 04 | $ 9.89 | LSAQ - LIFE SCI ACQ II --> Science 37
Oct 05 | $ 9.94 | STWO - ACON S2 Acquisition Corp --> Ess Technology Inc
Oct 05 | $ 9.96 | ITAC - Industrial Tech Acquisitions Inc --> Arbe Robotics Ltd
Oct 13 | $ 9.98 | MRAC - Marquee Raine Acquisition Corp. --> Enjoy Technology, Inc.
Oct 14 | $ 10.50 | LEGO - LEGATO MERGER CORP. --> Algoma Steel
Oct 14 | $ 10.07 | VIH - VPC Impact Acquisition Holdings --> BAKKT Holdings, LLC
Oct 14 | $ 9.99 | HZAC - HORIZON ACQ CP --> Vivid Seats Inc.
Oct 19 | $ 10.15 | GSAH - GS Acquisition Holdings Corp II --> Mirion Technologies
Oct 20 | $ 10.07 | SGAM - Seaport Global Acquisition Corp --> Redbox
Oct 20 | $ 9.98 | KURI - Alkuri Global Acquisition Corp. --> Babylon
Oct 20 | $ 10.07 | BCYP - Big Cypress Acquisition Corp. --> SAB Biotherapeutics
Oct 27 | $ 10.12 | TMTS - Spartacus Acquisition Corporation --> NextNav Holdings, LLC
3.20% ~ $ 10.00 | SKYA - Skydeck Acquisition Corp. (Pre-Deal)
2.51% ~ $ 10.20 | FSII - FS Development Corp. II (Announced)
1.72% ~ $ 11.80 | TDAC - Trident Acquisitions Corp (Announced)
1.65% ~ $ 9.85 | ACAH - Atlantic Coastal Acquisition Corp. (Pre-Deal)
1.61% ~ $ 8.83 | SV - Spring Valley Acquisition Corp (Announced)
1.56% ~ $ 9.77 | FRW - PWP Forward Acquisition Corp. I (Pre-Deal)
1.55% ~ $ 9.80 | PFTA - PORTAGE FINTECH ACQUISITION CORP. (Pre-Deal)
1.24% ~ $ 9.79 | LOKM - Live Oak Mobility Acquisition Corp. (Pre-Deal)
1.22% ~ $ 9.99 | FOXW - FoxWayne Enterprises Acquisition Corp. (Pre-Deal)
1.14% ~ $ 9.75 | PSPC - Post Holdings Partnering Corporation (Pre-Deal)
1.10% ~ $ 12.85 | FST - FAST ACQ CP (Announced)
1.09% ~ $ 10.16 | ACBA - Ace Global Business Acquisition Limited (Announced)
1.09% ~ $ 10.19 | CND - Concord Acquisition Corp (Announced)
1.03% ~ $ 9.77 | KAIR - Kairos Acquisition Corp (Pre-Deal)
1.03% ~ $ 9.80 | TWNI - Tailwind International Acquisition Corp. (Pre-Deal)
1.03% ~ $ 9.80 | GPAC - Global Partner Acquisition Corp II (Pre-Deal)
.93% ~ $ 9.78 | GGMC - Glenfarne Merger Corp. (Pre-Deal)
.92% ~ $ 9.89 | LSAQ - LIFE SCI ACQ II (Announced)
.88% ~ $ 10.31 | AGC - Altimeter Growth Corp. (Announced)
.82% ~ $ 9.78 | NGC - Northern Genesis Acquisition Corp. III (Pre-Deal)
-5.46% ~ $ 9.35 | MAAC - Montes Archimedes Acquisition Corp (Announced)
-3.02% ~ $ 9.63 | HWEL - Healthwell Acquisition Corp. I (Pre-Deal)
-2.54% ~ $ 8.07 | KCAC - Kensington Capital Acquisition Corp. II (Announced)
-1.88% ~ $ 9.94 | DWAC - Digital World Acquisition Corp. (Pre-Deal)
-1.74% ~ $ 9.88 | AMAO - American Acquisition Opportunity Inc (Pre-Deal)
-1.70% ~ $ 9.83 | MTAL - Metals Acquisition Corp (Pre-Deal)
-1.42% ~ $ 9.71 | TLGA - TLG Acquisition One Corp. (Pre-Deal)
-1.41% ~ $ 9.81 | DNAA - Social Capital Suvretta Holdings Corp. I (Pre-Deal)
-1.19% ~ $ 10.00 | AHPA - Avista Public Acquisition Corp. II (Pre-Deal)
-1.08% ~ $ 10.07 | KVSB - Khosla Ventures Acquisition Co. II (Announced)
-1.02% ~ $ 9.75 | CORS - Corsair Partnering Corporation (Pre-Deal)
-1.00% ~ $ 9.86 | ASAX - Astrea Acquisition Corp. (Announced)
-.92% ~ $ 9.73 | OSI - Osiris Acquisition Corp. (Pre-Deal)
-.77% ~ $ 9.66 | HYAC - Haymaker Acquisition Corp. III (Pre-Deal)
-.73% ~ $ 9.78 | GIIX - GORES HOLDINGS VIII, INC. (Pre-Deal)
-.71% ~ $ 9.76 | SVFC - SVF Investment Corp. 3 (Pre-Deal)
-.70% ~ $ 9.86 | APAC - StoneBridge Acquisition Corp. (Pre-Deal)
-.68% ~ $ 10.15 | GSAH - GS Acquisition Holdings Corp II (Announced)
-.62% ~ $ 9.69 | VLAT - Valor Latitude Acquisition Corp. (Pre-Deal)
-.61% ~ $ 9.71 | COLI - Colicity Inc (Pre-Deal)
More from Boardroom Alpha
For ongoing tracking, analytics, and data on SPACs checkout Boardroom Alpha's SPAC Data and Analytics service.
- Matthew Tuttle on FOMO, SPACs, and Capitalizing on Market Trends
- DMYI's Niccolo de Masi on Quantum Computing & IonQ
- Procaps and Union Acquisition II (LATN) Discuss $1.1B SPAC Deal
- Are Niccolo de Masi and dMY the Real SPAC Kings?
- Sarcos Robotics CEO Ben Wolff on Robots and SPACs
- DMYI Closes and Becomes IONQ. KCAC Drops 16% on Approval
- So Long SPAC Gamma Squeeze? MEKA Rises in IPO Surprise
- LATN, AMHC Deals Pass, and Joe Ianiello Prices a $265M SPAC IPO
- 40 SPAC Warrants < $1
- SPAC Gamma Trade On. FUSE/MoneyLion Surges 10.5%.
- SPACs Drop Along with the Market
- Motive Capital (MOTV) in $1.6b SPAC Deal with Forge Global
- LUCID to Redeem Warrants
- SOAC's PIPE Holders Aren't Paying Up
- Lucid Falls on $2.5B PIPE Lock-up Expiry
- VICE Abandons its SPAC Plans
- Spring Valley / AeroFarms Need More Capital
- Big SPAC Redemptions and Price Jumps Continue
- LWAC Runs Wild Post 97% Redemptions
- Apollo is Raising $500M for SPACs, LWAC sees 97% Redemptions
- SPAC Friday Morning Bloodbath
- SPAC Fire Sale
- Tim Hortons China Going Public, AEye and ReNew See High Redemptions
- All SPAC Analysis from Boardroom Alpha
(Disclaimers: this is not investment advice. The author may be long one or more stocks mentioned in this report.)