What SPAC Investors Need to Know for Tuesday

The SEC is zeroing in on SPACS. Altimeter (AGC) is taking Grab public in a record breaking $40b dollar SPAC merger. SPACs with announced deals took it on the chin yesterday.
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Announced Deals Take a Hit

SPACs with announced deals took it on the chin yesterday during an otherwise uneventful Monday for SPACs. This shouldn't change the view that SPACs with announced deals can still be winners on great execution, but it does reinforce the need to always watch entry price point. 

Altimeter (AGC) and Grab Announce Record SPAC Deal

This morning Brad Gerstner's Altimeter Growth (AGC) announced a record-breaking $40b (equity value) SPAC merger with Grab. Grab is Southeast Asia's largest "superapp" and is operating at a big scale already so investors will have a lot to be excited about. AGC popped up over 10% before coming down some, though remember that AGC has already been trading at a sizable premium as a deal has been rumored for about a month. Also interesting with the AGC / Grab deal is that the Altimeter's sponsor promote is locked up for 3 years in a clear reaction to the pitchforks that have come out recently for sponsors that do quick exits at de-SPAC.

SEC Zeroing In On SPACs

Over the last few weeks there have been several SEC comments around SPACs including warnings about the allure of celebrity sponsors and overly bullish financial projections from targets. The latest provides guidance on warrants, the sweetener to SPAC units sold to investors, and that they potentially should be accounted for as liabilities instead of equity on a SPAC's balance sheet. 

Expect a possible delay in SPAC registration statements and potential restatements due to the change. While not necessarily material on the fundamentals of the market, it's another example that if the SPAC market is here to stay then SEC is going to be more involved. 

SPACs Trading at a Discount
-3.00% ~ $ 9.70 | TCAC - Tuatara Capital Acquisition Corporation (Pre-Deal)
-3.00% ~ $ 9.70 | POW - Powered Brands (Pre-Deal)
-3.00% ~ $ 9.70 | GIGG - GigCapital4, Inc. (Pre-Deal)
-2.80% ~ $ 9.72 | RCLF - Rosecliff Acquisition Corp I (Pre-Deal)
-2.80% ~ $ 9.72 | OSTR - Oyster Enterprises Acquisition Corp. (Pre-Deal)
-2.80% ~ $ 9.72 | CPTK - Crown PropTech Acquisitions (Pre-Deal)
-2.80% ~ $ 9.72 | AGAC - African Gold Acquisition Corporation (Pre-Deal)
-2.70% ~ $ 9.73 | PUCK - Goal Acquisitions Corp. (Pre-Deal)
-2.70% ~ $ 9.73 | ADRA - Adara Acquisition Corp. (Pre-Deal)
-2.70% ~ $ 9.73 | EAC - Edify Acquisition Corp. (Pre-Deal)
-2.50% ~ $ 9.75 | BITE - Bite Acquisition Corp. (Pre-Deal)
-2.50% ~ $ 9.75 | NRAC - Noble Rock Acquisition Corporation (Pre-Deal)
-2.50% ~ $ 9.75 | MDH - MDH Acquisition Corp. (Pre-Deal)
-2.50% ~ $ 9.75 | KLAQ - KL Acquisition Corp (Pre-Deal)

Yesterday's Biggest Decliners
-12.81% ~ $ 13.07 | PSAC - Property Solutions Acquisition Corp (Announced)
-8.90% ~ $ 15.76 | RICE - Rice Acquisition Corp. (Announced)
-6.99% ~ $ 16.11 | RSVA - Rodgers Silicon Valley Acquisition Corp (Announced)
-6.77% ~ $ 12.80 | CLII - Climate Change Crisis Real Impact I Acquisition Corp (Announced)
-6.69% ~ $ 11.15 | SRAC - Stable Road Acquisition Corp. (Announced)
-6.63% ~ $ 13.52 | FTCV - FinTech Acquisition Corp. V (Announced)
-6.34% ~ $ 11.08 | BTWN - Bridgetown Holdings Ltd (Pre-Deal)
-5.69% ~ $ 17.07 | TPGY - TPG Pace Beneficial Finance Corp (Announced)
-5.44% ~ $ 12.00 | ARYA - Arya Sciences Acquisition Corp III (Announced)
-5.40% ~ $ 11.56 | APXT - Apex Technology Acquisition Corporation (Announced)
-5.17% ~ $ 16.52 | NGA - NORTHERN GN ACQ (Announced)
-4.90% ~ $ 35.36 | BRPA - Big Rock Partners Acquisition Corp (Announced)
-4.33% ~ $ 17.00 | IPOE - Social Capital Hedosophia Holdings Corp V (Announced)
-4.29% ~ $ 12.71 | TDAC - Trident Acquisitions Corp (Announced)
-4.29% ~ $ 16.30 | ACTC - ArcLight Clean Transition Corp (Announced)
-4.09% ~ $ 22.03 | CCIV - Churchill Capital Corp IV (Announced)
-4.08% ~ $ 11.04 | IPOD - Social Capital Hedosophia Holdings Corp IV (Pre-Deal)
-4.07% ~ $ 11.07 | LEAP - Ribbit LEAP Ltd (Pre-Deal)
-3.73% ~ $ 18.31 | SSPK - Silver Spike Acquisition Corp. (Announced)
-3.28% ~ $ 30.12 | STPK - Star Peak Energy Transition Corp (Announced)