SPACs

TPG, waiting out first IPO boom, may ride another

1 Jul 2021

The private equity firm David Bonderman and Jim Coulter founded watched peers like KKR and Apollo ride into public ownership and extreme riches with the last market wave. Waiting, and watching rivals deal with growing pains and generational succession may prove to be a good call.

Bowling alley deal makes a strike-worthy SPAC

1 Jul 2021

Bowlero is buffing up to go public by merging with a blank-check firm in a transaction worth $2.6 bln. The company is a roll-up machine, taking out competitors, and a media play too. Its value is even sensible compared to WWE or Six Flags. “The Dude” would surely abide.

Capital Calls: Didi IPO, Space SPAC, Travel SPAC

30 Jun 2021

Concise views on global finance: The Chinese ride-hailing outfit snags an $80 billion valuation early in its New York debut; a blank-check deal for satellite-transport group Momentus cuts its valuation in half; high-end vacation club Inspirato takes subscriptions to a new level.

Five reasons BuzzFeed’s $1.5 bln SPAC deal is LOL

24 Jun 2021

The once-hot digital publisher is merging with a blank-check firm and simultaneously buying a streetwear brand. The deal comes with a listicle of risks, from aggressive growth forecasts to a fickle audience and an ambitious valuation. Worried emoji face goes here.

Ackman’s un-SPAC elicits a shrug from investors

24 Jun 2021

Owners of the billionaire’s blank-cheque company get 10% of Universal Music, a possible future deal, and the right to buy into a novel acquisition vehicle. Yet the SPAC’s valuation premium has dwindled. Investors either dislike complexity or doubt Bill Ackman’s dealmaking talent.

Self-driving truck race suffers from major traffic

23 Jun 2021

Embark, which automates big rigs, is worth $5.2 bln in a SPAC deal with smart-money PIPE investors and Trump’s former transport boss on the board. Its strategy might please shippers and truck-makers. The valuation isn’t bad. But competitive and regulatory roadblocks lie ahead.

DraftKings’ luck tilts odds against short seller

17 Jun 2021

Hindenburg Research questioned the legitimacy of some of the online-betting firm’s business. Even if proven right, the revenue impact would be small. Like many digital stocks DraftKings looks overvalued right now. But in this market, it’s risky to bet against the momentum.

Capital Calls: JPMorgan, French SPAC, Jessica Alba

17 Jun 2021

Concise views on global finance: Jamie Dimon bulks up his nascent UK digital banking offer by buying Nutmeg; France boosts its lowly SPAC league-table position with two blank-cheque vehicles; the Hollywood star’s consumer packaged goods company Honest encounters growing pains.

SPAC figureheads need to seal their deals

15 Jun 2021

One of Michael Klein’s blank-check vehicles may buy small-brand collector Thrasio. If that deal and another for Lucid Motors close, some 70% of his $7 bln in SPAC cash would be invested. Chamath Palihapitiya is not far behind. The market's future hinges on both gurus’ success.

Bolloré and Ackman will beat the Vivendi activists

15 Jun 2021

Agitators including Dan Loeb own stakes in the French tycoon’s conglomerate. A messy plan to list most of music label Universal, while selling 10% on the cheap to Bill Ackman’s SPAC, gives them plenty to aim at. But Vincent Bolloré’s near-30% control means he has the upper hand.

Capital Calls: Corporate America blowback

15 Jun 2021

Concise views on global finance: An investor lawsuit against Trump-era rules on shareholders' proposals is the latest sign of the tables turning.

SPAC boom gets “come to Jesus” moment in Lordstown

14 Jun 2021

The electric-pickup-truck maker admitted some pre-orders were nebulous, saw its CEO and CFO step down and warned it may not remain a going concern. This implosion, less than a year after going public, makes it easy for critics and regulators to latch onto specific SPAC problems.

Ackman SPAC falls flat with Universal denouement

4 Jun 2021

After sniffing at Airbnb and Bloomberg, the billionaire’s blank-cheque firm may instead buy 10% of the music label for $4 bln. It’s a fair price but Universal was going public anyway. And Bill Ackman’s “Tontard” acolytes could get it cheaper simply by buying its parent, Vivendi.

Babylon’s $4 bln SPAC is big bet on U.S. pivot

3 Jun 2021

The healthcare app sealed a merger with blank-cheque company Alkuri Global Acquisition. Its roots are in the UK, where its artificial intelligence received a mixed welcome. Babylon’s future rests on managing similar blowback and rivals’ competition in the U.S.

Car-charging deal curbs SPAC sticker shock

27 May 2021

Australia-based Tritium’s $1.7 bln blank-cheque merger includes bold revenue predictions typical of such tie-ups. But it values the manufacturer of electric-vehicle fast chargers at a decent discount to rivals and isn’t raising extra cash. The relative thriftiness is welcome.

UK sends mixed message with London IPO veto

26 May 2021

Chancellor Rishi Sunak is seeking powers to block stock market offerings that threaten national security. Even if used rarely, the move is at odds with his drive to lure firms to list in London after Brexit. It’s another sign of the government’s ideological inconsistency.

Capital Calls: BlackRock/Exxon, Media deals, SPACs

25 May 2021

Concise views on global finance: The giant asset manager will vote for three dissident nominees for Exxon Mobil’s board; boutique adviser LionTree has benefited from a rash of media deals; Lordstown Motors show why blank-check merger projections can’t be relied upon.

SPAC double downer makes room for clever trade

24 May 2021

Wary co-investors are making blank-check companies pay less for targets. And sceptical punters are pushing down stock prices of the vehicles themselves. It's making it possible to buy SPAC shares below their $10 cash value, an almost risk-free bet with improving upside.

Capital Calls: “Friends” reunion, SPACs in D.C.

24 May 2021

Concise views on global finance: AT&T's HBO Max is streaming a delayed 25-year reunion of the popular sitcom cast just as the company ditches its media assets; busybody U.S. Congress is taking a hands-off approach to blank-check firms.

Roivant double-SPAC deal wallows in own cleverness

20 May 2021

The biotech firm may raise money from a blank-check company, then buy out a drugmaker it previously merged with a SPAC. It sounds complex, but what Roivant is doing is at heart not so different from any IPO. The catch is that it has inside intel, and an incentive to exploit it.