LCID True Believers Buy the Dip; SPACs Take a Breather

The SPAC market is taking a bit of a breather while the finance community is on holiday. Look for that to change big time post the Labor Day holiday.
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Another quiet SPAC day with limited action across the market. Look for this to change after Labor Day when the full finance community is back from its summer holidays. Even with the systemic and significant SPAC market challenges at the moment it is almost a certainty that we'll see a big uptick in activity. And, hey, the average pre-deal SPAC is back up to trading at $9.75, so maybe the narrative is about to turn positive again (narrator: it's not).

LCID True Believers
After yesterday's Lucid Motors (LCID) ~11% drop on SPAC PIPE lock-up expiration it was an opportunity for true believes to buy the dip. They did and LCID rose almost 5% on the day to close at $18.66. Look for further LCID movement to be driven by its ability to execute (or not) and deliver on the promise its fans believe it to have.

Chardan Healthcare 2 / Renovacor Closes
Tomorrow CHAQ begins trading as RCOR. Shares were down 10% today on news of $21M in redemptions. That's about 24% which is pretty minor relative to what we've been seeing lately. The merger company will get $95M in proceeds which includes $30M from the PIPE.

Glass Lewis and ISS Battle It Out on Atlas Crest (ACIC) / Archer Deal
The other day the proxy advisor ISS recommended a "no" vote on the ACIC / Archer deal. Today Glass Lewis, the other big proxy advisor, recommended a "yes" vote. Frankly, it's hard to see any SPAC investor caring what either of these two has to say regarding the deal and how to handle redemptions and voting on the SPAC. 

Aging SPACs
We're also starting to look at a growing list of aging SPACs that will be feeling the pressure to get a deal done sooner rather than later. Given most have between 18 months and 2 years to get a deal done, there is still plenty of time, but with every passing month it's going to get harder. This will be especially true once "Peak SPAC" (when all those SPACs that IPO'd at the start of 2021 are racing for deals) hits. 

Here are some SPACs that are starting to get a little grey in the beard.

$ 10.07 | 15 months | BRLI - Brilliant Acquisition Corporation
$ 9.80 | 14 months | HPX - HPX Corp
$ 19.69 | 14 months | PSTH - Pershing Square Tontine Holdings
$ 9.80 | 14 months | ERES - East Resources Acquisition Company
$ 10.14 | 14 months | GRCY - Greencity Acquisition Corp
$ 9.88 | 14 months | ACEV - ACE Convergence Acquisition Corp
$ 9.78 | 14 months | ETAC - E.Merge Technology Acquisition Corp.
$ 9.80 | 14 months | PRPB - CC NEUBERGER PR
$ 9.85 | 13 months | HSAQ - Health Sciences Acquisitions Corporation 2
$ 9.78 | 13 months | GOAC - GO ACQUISITION
$ 9.80 | 13 months | RBAC - RedBall Acquisition Corp.
$ 9.91 | 13 months | BTAQ - BURGUNDY TC ACQ
$ 9.75 | 12 months | TWND - Tailwind Acquisition Corp
$ 9.78 | 12 months | CSRA - Cohn Robbins Holdings Corp.
$ 9.77 | 12 months | PIAI - Prime Impact Acquisition I
$ 10.00 | 12 months | LEAP - Ribbit LEAP Ltd
$ 9.78 | 12 months | EQD - Equity Distribution Acquisition Corp
$ 9.79 | 12 months | OACB - Oaktree Acquisition Corp II
$ 9.72 | 12 months | NMMC - North Mountain Merger Corp
$ 9.79 | 12 months | PMVC - PMV Consumer Acquisition Corp

Most are significantly below NAV which will be putting them under additional pressure as they'll also need robust PIPEs to overcome the (likely) high redemption rates at vote time.

SPAC Merger Votes

Here's a look at what's coming up for vote after the holiday. And, one vote tomorrow to see everyone off on the long weekend.

Sep 03 | $ 9.94 | SOAC - Sustainable Opportunities Acquisition Corp. --> DeepGreen Metals Inc.
Sep 08 | $ 9.99 | SFTW - Osprey Technology Acquisition Corp. --> BlackSky
Sep 09 | $ 15.90 | RICE - Rice Acquisition Corp. --> Aria Energy & Achaea Energy
Sep 10 | $ 9.99 | QELL - Qell Acquisition Corp --> Lilium
Sep 14 | $ 9.98 | SRNG - Soaring Eagle Acquisition Corp. --> Ginkgo
Sep 14 | $ 9.98 | ACIC - Atlas Crest Investment Corp --> Archer Aviation
Sep 14 | $ 9.98 | PACE - TPG Pace Tech Opportunities Corp --> Nerdy Inc.
Sep 15 | $ 9.98 | DEH - D8 Holdings Corp. --> Vicarious Surgical Inc.
Sep 15 | $ 9.98 | ROT - Rotor Acquisition Corp --> SARCOS CORP.
Sep 16 | $ 9.97 | CTAC - Cerberus Telecom Acquisition Corp --> Kore
Sep 22 | $ 10.13 | LATN - Union Acquisition Corp. II --> Procaps Group
Sep 28 | $ 9.95 | PTK - PTK Acquisition Corp. --> Valens Semiconductor
Sep 28 | $ 9.97 | DMYI - dMY Technology Group Inc III --> ionQ, Inc.
Sep 28 | $ 9.95 | MAAC - Montes Archimedes Acquisition Corp --> Roivant Sciences
Sep 28 | $ 9.96 | STPC - Star Peak Corp II --> Benson Hill, Inc.

SPAC Stock Movers

SPAC Gainers
3.12% ~ $ 10.26 | VIH - VPC Impact Acquisition Holdings (Announced)
3.00% ~ $ 8.94 | SV - Spring Valley Acquisition Corp (Announced)
2.85% ~ $ 10.83 | TPGY - TPG Pace Beneficial Finance Corp (Announced)
2.02% ~ $ 11.61 | TDAC - Trident Acquisitions Corp (Announced)
1.43% ~ $ 11.38 | LEGO - LEGATO MERGER CORP. (Announced)
1.35% ~ $ 9.78 | LCA - Landcadia Holdings IV, Inc. (Pre-Deal)
1.14% ~ $ 9.76 | LAAA - Lakeshore Acquisition I Corp. (Pre-Deal)
1.13% ~ $ 9.84 | LEGA - Lead Edge Growth Opportunities, Ltd (Pre-Deal)
1.11% ~ $ 10.04 | DKDCA - Data Knights Acquisition Corp. (Pre-Deal)
1.07% ~ $ 9.89 | GIW - GigInternational1, Inc. (Pre-Deal)
1.04% ~ $ 9.73 | IGNY - Ignyte Acquisition Corp. (Pre-Deal)
.99% ~ $ 9.73 | DILA - Dila Capital Acquisition Corp (Pre-Deal)
.92% ~ $ 9.83 | DNAA - Social Capital Suvretta Holdings Corp. I (Pre-Deal)
.83% ~ $ 9.69 | SDAC - Sustainable Development Acquisition I Corp. (Pre-Deal)
.82% ~ $ 9.89 | ENNV - ECP Environmental Growth Opportunities Corp. (Announced)
.78% ~ $ 9.75 | TLGA - TLG Acquisition One Corp. (Pre-Deal)
.76% ~ $ 10.62 | CND - Concord Acquisition Corp (Announced)
.71% ~ $ 9.88 | BLSA - BCLS Acquisition Corp. (Pre-Deal)
.69% ~ $ 10.27 | XPDI - Power & Digital Infrastructure Acquisition Corp. (Announced)

SPAC Losers
-2.33% ~ $ 9.66 | VLAT - Valor Latitude Acquisition Corp. (Pre-Deal)
-1.70% ~ $ 9.82 | TCVA - TCV Acquisition Corp. (Pre-Deal)
-1.54% ~ $ 9.60 | CORS - Corsair Partnering Corporation (Pre-Deal)
-1.29% ~ $ 8.39 | CENH - Centricus Acquisition Corp. (Announced)
-.83% ~ $ 9.67 | DRAY - Macondray Capital Acquisition Corp. I (Pre-Deal)
-.81% ~ $ 9.70 | ADRA - Adara Acquisition Corp. (Pre-Deal)
-.72% ~ $ 9.67 | BGSX - Build Acquisition Corp. (Pre-Deal)
-.72% ~ $ 9.68 | EOCW - Elliott Opportunity II Corp. (Pre-Deal)
-.62% ~ $ 9.69 | TWNT - Tailwind Two Acquisition Corp. (Pre-Deal)
-.62% ~ $ 9.69 | ARBG - Aequi Acquisition Corp (Pre-Deal)
-.52% ~ $ 9.65 | FZT - FAST Acquisition Corp. II (Pre-Deal)
-.51% ~ $ 9.66 | PLMI - Plum Acquisition Corp. I (Pre-Deal)
-.51% ~ $ 9.67 | GFX - Golden Falcon Acquisition Corp. (Pre-Deal)
-.51% ~ $ 9.67 | GSQD - G Squared Ascend I Inc. (Pre-Deal)
-.51% ~ $ 9.70 | RXRA - RXR Acquisition Corp (Pre-Deal)
-.50% ~ $ 15.90 | RICE - Rice Acquisition Corp. (Announced)
-.50% ~ $ 9.99 | SFTW - Osprey Technology Acquisition Corp. (Announced)
-.41% ~ $ 9.61 | MACA - Moringa Acquisition Corp (Pre-Deal)
-.41% ~ $ 9.61 | SPTK - SportsTek Acquisition Corp. (Pre-Deal)
-.41% ~ $ 9.63 | PUCK - Goal Acquisitions Corp. (Pre-Deal)

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(Disclaimers: this is not investment advice. The author may be long one or more stocks mentioned in this report.)

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