Lucid Motors (LCID) left the SPAC nest on Monday as it began trading as LCID on the NASDAQ (RIP CCIV). In a strong debut it was up +10.64% and continued up a little more in early after hours trading.
This leaves the SPAC market with little sizzle as about 90% pre-deal SPACs are trading below their $10 NAV and SPACs with announced deals aren't faring much better. The market is fully in yield mode now as the $10 redemption backstop remains the most certain play. This is especially true as more SPACs come up for vote and face a growing number of redemptions -- effectively creating a self-reinforcing cycle where below NAV SPACs suffer higher redemptions which further puts downward pressure on the rest of the SPAC market.
Investors can see the weakness clearly in the recently announced deals where only 3 out of the last 25 are trading at or above $10.
Recently announced deals:
Jul 23 | $ 10.03 | BTNB - Bridgetown 2 Holdings Limited --> PropertyGuru Group
Jul 23 | $ 9.97 | DGNS - DRAGONEER GR OP --> CVENT
Jul 21 | $ 9.82 | MDH - MDH Acquisition Corp. --> Olive.com
Jul 21 | $ 9.93 | XPDI - Power & Digital Infrastructure Acquisition Corp. --> Core Scientific, Inc.
Jul 20 | $ 9.83 | VELO - Velocity Acquisition Corp --> BBQGuys
Jul 19 | $ 9.90 | IIAC - Investindustrial Acquisition Corp. --> Ermenegildo Zegna
Jul 19 | $ 9.85 | CPSR - Capstar Special Purpose Acquisition Corp. --> Gelesis Inc
Jul 19 | $ 9.81 | ENNV - ECP Environmental Growth Opportunities Corp. --> Fast Radius, Inc.
Jul 19 | $ 9.85 | OCA - Omnichannel Acquisition Corp --> Kin
Jul 16 | $ 9.85 | ATMR - Altimar Acquisition Corp. II --> Fathom Digital Manufacturing Corporation
Jul 15 | $ 9.88 | LGV - Longview Acquisition Corp. II --> Heartflow, Inc.
Jul 15 | $ 9.86 | PFDR - Pathfinder Acquisition Corporation --> ServiceMax
Jul 15 | $ 9.93 | RTPY - Reinvent Technology Partners Y --> Aurora Innovation, Inc.
Jul 13 | $ 9.92 | CBAH - CBRE Acquisition Holdings, Inc. --> Altus Power, Inc
Jul 13 | $ 9.91 | IVAN - Ivanhoe Capital Acquisition Corp --> SES Holdings
Jul 12 | $ 9.87 | LCAP - Lionheart Acquisition Corporation II --> MSP Recovery
Jul 09 | $ 10.00 | FPAC - Far Peak Acquisition Corp --> Bullish
Jul 08 | $ 9.81 | HCCC - Healthcare Capital Corp. --> Alpha Tau Medical Ltd.
Jul 08 | $ 9.90 | HCAQ - HealthCor Catalio Acquisition Corp. --> Hyperfine, Inc.
Jul 08 | $ 10.26 | CND - Concord Acquisition Corp --> Circle
Jul 07 | $ 9.88 | DMYQ - dMY Technology Group, Inc. IV --> Planet Labs Inc.
Jul 07 | $ 9.94 | ATHN - Athena Technology Acquisition Corp. --> Heliogen
Jul 06 | $ 9.86 | CFV - CF Acquisition Corp. V --> Satellogic
Jul 06 | $ 10.59 | KVSB - Khosla Ventures Acquisition Co. II --> Nextdoor, Inc.
Jul 01 | $ 9.89 | ISOS - Isos Acquisition Corp. --> Bowlero
De-SPACs are also continuing to show weakness. Today, also in its first day of trading as the combined company, Microvast (MVST) -- previously Tuscan Holdings (THCB) -- dropped over -12%.
Overall, expect the SPAC summer malaise to continue for the foreseeable future as the trends are strong and stable -- if somewhat depressing for SPAC investors missing "Peak SPAC" from earlier this year. And, if you are a retail investor wondering whether to hold a SPAC through the ex-redemption date, at least make sure you know how to execute the redemptions should things turn further south.
SPAC Deal Votes
There are 7 votes to close out July, including Tailwind's (TWND) delayed meeting from last week. With ROCC and CAP both getting ready for shareholders to vote on their mergers, the stocks dropped -4.75% and -3.59% respectively.
Jul 27 | $ 9.13 | ROCC - Roth CH Acquisition II Co. --> Reservoir Holdings, Inc.
Jul 27 | $ 9.62 | CAP - Capitol Investment Corp V --> States Title Holding, Inc.
Jul 28 | $ 9.90 | SVAC - Starboard Value Acquisition Corp --> Cyxtera
Jul 28 | $ 9.62 | NEBC - Nebula Caravel Acquisition Corporation --> Rover
Jul 29 | $ 9.59 | DGNR - Dragoneer Growth Opportunities Corp --> CCC Information Services Inc.
Jul 29 | $ 9.97 | RTPZ - Reinvent Technology Partners Z --> Hippo Enterprises Inc.
Jul 30 | $ 9.51 | TWND - Tailwind Acquisition Corp --> QOMPLX, Inc.
Biggest SPAC Movers
Biggest SPAC Losers
-4.75% ~ $ 9.13 | ROCC - Roth CH Acquisition II Co. (Announced)
-4.00% ~ $ 10.09 | BCTG - BCTG Acquisition Corp. (Announced)
-3.91% ~ $ 9.59 | DGNR - Dragoneer Growth Opportunities Corp (Announced)
-3.80% ~ $ 9.62 | NEBC - Nebula Caravel Acquisition Corporation (Announced)
-3.58% ~ $ 9.66 | SKYA - Skydeck Acquisition Corp. (Pre-Deal)
-3.16% ~ $ 9.51 | TWND - Tailwind Acquisition Corp (Announced)
-2.60% ~ $ 9.73 | EUCR - Eucrates Biomedical Acquisition Corp (Pre-Deal)
-2.13% ~ $ 9.66 | GGMC - Glenfarne Merger Corp. (Pre-Deal)
-2.00% ~ $ 12.25 | TPGY - TPG Pace Beneficial Finance Corp (Announced)
-1.97% ~ $ 10.93 | TDAC - Trident Acquisitions Corp (Announced)
-1.95% ~ $ 10.56 | VACQ - Vector Acquisition Corp (Announced)
-1.84% ~ $ 10.11 | LMACA - Liberty Media Acquisition Corporation (Pre-Deal)
-1.76% ~ $ 10.59 | KVSB - Khosla Ventures Acquisition Co. II (Announced)
-1.70% ~ $ 9.84 | GIW - GigInternational1, Inc. (Pre-Deal)
-1.61% ~ $ 9.77 | SPKB - Silver Spike Acquisition Corp II (Pre-Deal)
-1.53% ~ $ 9.64 | BYTS - BYTE Acquisition Corp. (Pre-Deal)
-1.53% ~ $ 9.67 | MACQ - MCAP Acquisition Corporation (Pre-Deal)
-1.43% ~ $ 9.65 | AMPI - Advanced Merger Partners, Inc. (Pre-Deal)
-1.32% ~ $ 9.72 | LCAAU - L Catterton Asia Acquisition Corp (Pre-Deal)
Biggest SPAC Gainers
6.29% ~ $ 12.34 | FST - FAST ACQ CP (Announced)
3.19% ~ $ 11.01 | AGC - ALTIMETER GROWTH CORP (Announced)
3.05% ~ $ 10.31 | RACB - Research Alliance Corp. II (Pre-Deal)
2.79% ~ $ 10.69 | FTCV - FinTech Acquisition Corp. V (Announced)
2.74% ~ $ 10.51 | BOWX - BowX Acquisition Corp (Announced)
2.28% ~ $ 9.88 | OHPA - Orion Acquisition Corp. (Pre-Deal)
1.99% ~ $ 10.26 | CND - Concord Acquisition Corp (Announced)
1.79% ~ $ 10.26 | BLSA - BCLS Acquisition Corp. (Pre-Deal)
1.33% ~ $ 16.78 | RICE - Rice Acquisition Corp. (Announced)
1.04% ~ $ 9.78 | RKTA - Rocket Internet Growth Opportunities Corp. (Pre-Deal)
.93% ~ $ 9.78 | PTIC - PropTech Investment Corporation II (Pre-Deal)
.91% ~ $ 9.95 | EDTX - EdtechX Holdings Acquisition Corp II (Pre-Deal)
.91% ~ $ 10.03 | BTNB - Bridgetown 2 Holdings Limited (Announced)
.83% ~ $ 9.77 | BSKY - Big Sky Growth Partners, Inc. (Pre-Deal)
.81% ~ $ 9.98 | DFPH - DFP HEALTHC ACQ (Announced)
.73% ~ $ 9.72 | SWET - Athlon Acquisition Corp. (Pre-Deal)
.72% ~ $ 9.76 | QFTA - Quantum FinTech Acquisition Corp (Pre-Deal)
.72% ~ $ 9.77 | GHAC - Gaming & Hospitality Acquisition Corp. (Pre-Deal)
.72% ~ $ 9.77 | WARR - Warrior Technologies Acquisition Company (Pre-Deal)
.69% ~ $ 10.25 | GLSPU - Global SPAC Partners Co. (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.
- CCIV No Longer as LCID Begins Trading, and 7 SPACs Voting this week
- CCIV/Lucid is Official. Now What?
- Pre-Deal SPACs are Cheap
- SPACs Edge Higher, CCIV Shareholder Vote Tomorrow
- SPACs Fall with Stocks in Down Day
- A SPAC Risk Exposed?
- Ackman / PSTH Deal Falls Apart, and Merger Monday is Back
- RTPY Rises on Deal with Aurora, PFDR Strikes $1.4B Deal with Service Max
- Will Large Redemptions Force a Change in Sponsor Economics?
- SEC, Gensler Lay the Hammer on Stable Road (SRAC) & Momentus
- LCAP Rises on MSP Deal, ASPL Sees Huge Redemptions in Wheels Up Vote
- Lionheart Acquisition (LCAP) Announces $32.6B SPAC Deal with MSP Recovery
- Nextdoor Leads the Way in Busy Merger Week
- Despite Higher Activity Level SPACs Showing Some Weakness
- SPAC Deal Announcement Pops and Warrants Surge
- Hyperfine, Circle, and Alpha Tau Healthcare Get SPAC Deals
- Pre-Deal SPACs are Cheap
- Two New SPAC Deals (DMYQ, ATHN)
- Khosla Ventures Acquisition II Soars on Nextdoor Deal
- Khosla taking Nextdoor Public in $4.3B Deal and CF Acquisition Announced Satellogic $850M Deal
- Weekly SPAC Wrap - July 2
- Bowlero Gets a $2.6B SPAC Deal
- Chamath's Bio SPACs Rise, WPF has Large Redemptions
- Stable Road (SRAC) Cuts Deal Valuation in Half -- Market Loves It
- SPACs Flat, LACQ and IACA Votes Pass
- 10 SPAC Deal Votes Close Out June
- De-SPACs Get Set to Join the Russell 3000
- Weekly Director/CEO/CFO Moves: Matthew Furlong Takes the Helm at GameStop & EBAY Gets a New CFO
- Churchill (CCIV) & Lucid Sets its Vote Date
(Disclaimers: this is not investment advice. The author may be long one or more stocks mentioned in this report.)