Performance of SPAC IPOs continues to underwhelm -- almost all recent SPAC IPOs are below $10 -- and so investors will happily turn their attention to the high profile traditional IPO of Robinhood today. The question remains why, given the way SPACs are trading and with redemptions escalating significantly, sponsors and banks continue to bring more SPACs into the market.
Of course it is all about incentives and, for now, the sponsors and SPAC ecosystem (e.g. underwriters, legal, etc) are all still making money. Given how the market is going though, it is hard to see this continuing as the appetite from investors to take increasingly downside weighted bets on SPACs -- aside from yield plays -- must be waning.
Today's most interesting outcome for SPACs will be if Robinhood somehow disappoints. If that happens, then we'll likely see the SPAC Twitterverse light up and use a disappointing traditional IPO to bolster the case for SPACs as a vehicle.
SPAC Deal Votes
Nebula Caravel Acquisition Corporation (NEBC) shareholders approved their deal with Rover. The deal is expected to close on July 30 and start trading as ROVR. No mention of redemptions in the 8K or press release, so investors will probably have to wait a few days to learn those details. This will be second of the 7 True Wind SPAC deals to de-SPAC. Their first, Open Lending (LPRO), continues to be one of the best trading de-SPACs with an over 175% return since the merger.
Starboard Value Acquisition Corp (SVAC) shareholders approved their Cyxtera deal, but again significant redemptions forced them to waive the minimum cash condition of $550M had to be waived. The 26,176,891 shares redeemed removed $262M from the trust and leaves approximately $369M available at closing. The deal is expected to close today, the 29th, and start trading as CYXT on the 30th.
Only a few more votes to go in July and then August starts to fill up:
Jul 29 | $ 9.83 | RTPZ - Reinvent Technology Partners Z --> Hippo Enterprises Inc.
Jul 29 | $ 9.36 | DGNR - Dragoneer Growth Opportunities Corp --> CCC Information Services Inc.
Jul 30 | $ 9.24 | TWND - Tailwind Acquisition Corp --> QOMPLX, Inc.
Aug 05 | $ 9.97 | RTP - Reinvent Technology Partners --> Joby Aviation
Aug 05 | $ 10.00 | PDAC - Peridot Acquisition Corp --> Li-Cycle Corp
Aug 09 | $ 9.95 | BCTG - BCTG Acquisition Corp. --> Tango Therapeutics
Aug 11 | $ 10.05 | SRAC - Stable Road Acquisition Corp. --> Momentus, Inc.
Aug 11 | $ 10.06 | NBA - New Beginnings Acquisition Corp --> Airspan Networks Inc
Aug 12 | $ 9.96 | SAII - SOFTWARE ACQ GP --> Otonomo Technologies, Ltd
Aug 12 | $ 10.05 | CFAC - CF Finance Acquisition Corp. III --> AEye, Inc.
Aug 13 | $ 9.95 | NSH - NavSight Holdings, Inc --> Spire Global
Aug 16 | $ 9.95 | RMGB - RMG Acquisition Corporation II --> ReNew Power Private Limited
Aug 18 | $ 9.95 | AJAX - Ajax I --> Cazoo
Aug 20 | $ 10.28 | VACQ - Vector Acquisition Corp --> Rocket Lab
Aug 20 | $ 10.04 | SV - Spring Valley Acquisition Corp --> AeroFarms
They keep coming despite immediate moves below NAV. Investors should expect this to continue for the foreseeable future.
- Metals Acquisition (MTAL /U): $250M with 1/3 warrants and focused on metals & mining
- Software Acquisition Group III (SWAG /U): $200M with 1/2 warrant and focused on software
- International Media Acquisition (IMAQ /U): $200M with 1 right (worth 1/20 share) and 1 warrant (worth 3/4 share) and focused on content/film and media
Wednesday's SPAC Movers
4.21% ~ $ 9.91 | NEBC - Nebula Caravel Acquisition Corporation (Announced)
2.86% ~ $ 9.36 | DGNR - Dragoneer Growth Opportunities Corp (Announced)
2.81% ~ $ 12.42 | TPGY - TPG Pace Beneficial Finance Corp (Announced)
2.25% ~ $ 10.23 | LAAA - Lakeshore Acquisition I Corp. (Pre-Deal)
1.92% ~ $ 10.10 | CHAQ - Chardan Healthcare Acquisition 2 Corp. (Announced)
1.86% ~ $ 9.88 | SPAQ - Spartan Acquisition Corp. III (Announced)
1.65% ~ $ 9.84 | GMBT - Queen’s Gambit Growth Capital (Announced)
1.55% ~ $ 9.83 | RTPZ - Reinvent Technology Partners Z (Announced)
1.34% ~ $ 9.80 | PMGM - Priveterra Acquisition Corp. (Pre-Deal)
1.28% ~ $ 10.25 | BTNB - Bridgetown 2 Holdings Limited (Announced)
1.14% ~ $ 9.75 | TWNI - Tailwind International Acquisition Corp. (Pre-Deal)
1.08% ~ $ 10.27 | GLSPU - Global SPAC Partners Co. (Pre-Deal)
1.04% ~ $ 9.75 | AMPI - Advanced Merger Partners, Inc. (Pre-Deal)
1.03% ~ $ 9.79 | CSTA - Constellation Acquisition Corp I (Pre-Deal)
1.03% ~ $ 9.80 | ORIA - Orion Biotech Opportunities Corp. (Pre-Deal)
.93% ~ $ 9.79 | LGAC - LAZARD GROWTH ACQUISITION CORP. I (Pre-Deal)
.85% ~ $ 10.74 | AGC - ALTIMETER GROWTH CORP (Announced)
.81% ~ $ 9.95 | RXRA - RXR Acquisition Corp (Pre-Deal)
.78% ~ $ 9.78 | LCA - Landcadia Holdings IV, Inc. (Pre-Deal)
.77% ~ $ 9.83 | FVIV - Fortress Value Acquisition Corp. IV (Pre-Deal)
-2.97% ~ $ 9.80 | GIW - GigInternational1, Inc. (Pre-Deal)
-2.13% ~ $ 9.66 | GGMC - Glenfarne Merger Corp. (Pre-Deal)
-2.12% ~ $ 9.69 | TLGA - TLG Acquisition One Corp. (Pre-Deal)
-2.06% ~ $ 10.00 | PDAC - Peridot Acquisition Corp (Announced)
-1.93% ~ $ 9.66 | RCLF - Rosecliff Acquisition Corp I (Pre-Deal)
-1.72% ~ $ 10.28 | VACQ - Vector Acquisition Corp (Announced)
-1.62% ~ $ 9.69 | TSPQ - TCW Special Purpose Acquisition Corp (Pre-Deal)
-1.51% ~ $ 9.80 | CCV - Churchill Capital Corp V (Pre-Deal)
-1.41% ~ $ 9.78 | OHPA - Orion Acquisition Corp. (Pre-Deal)
-1.41% ~ $ 9.80 | GOBI - Gobi Acquisition Corp. (Pre-Deal)
-1.28% ~ $ 10.80 | TDAC - Trident Acquisitions Corp (Announced)
-1.23% ~ $ 9.63 | DHBC - DHB Capital Corp. (Pre-Deal)
-1.12% ~ $ 9.67 | TETC - Tech and Energy Transition Corporation (Pre-Deal)
-1.12% ~ $ 9.73 | FVAM - 501 ACQ CORP (Pre-Deal)
-1.01% ~ $ 9.85 | MAQC - Maquia Capital Acquisition Corporation (Pre-Deal)
-.97% ~ $ 10.25 | BLSA - BCLS Acquisition Corp. (Pre-Deal)
-.94% ~ $ 9.83 | IPVI - InterPrivate IV InfraTech Partners Inc. (Pre-Deal)
-.92% ~ $ 9.65 | ANZU - Anzu Special Acquisition Corp I (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 Turn to Financings to Plug Redemptions
- MACQ Rises on New Deal, Palantir in Two New PIPES
- AdTheorent Going Public with MCAP Acquisition (MACQ)
- 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.)