SPAC Spectacle: Act II

Jonathan Rosenzweig discusses the hottest trend in capital markets, the surge in Special Purpose Acquisition Companies (SPACs), with Doug Adams, Managing Director and the Global co-Head of Equity Capital Markets at Citigroup; Rich Bilotti, Vice President of Business Development at VectoIQ Acquisition company; and, David Boris, co-CEO and CFO of Forum Merger III and Forum Merger IV Corporations. The rapid growth in this product has been remarkable, and also quite controversial. While some argue that too much capital is chasing too few good targets, others feel that after decades of declines in publicly traded US stocks, the SPAC vehicle is breathing new life into markets. In this episode, we go beyond the soundbites in the media and talk directly with experts who can provide a deep perspective on the outlook for SPACs as an asset class. Filmed on March 16th, 2021. Key Learnings: This episode addresses the drivers behind the momentum in SPACs and their sustainability, future target areas for the product, the M&A supply/demand balance, PIPEs and incremental funding mechanisms, stock price implications, regulatory issues, incentive structures for sponsors, the longer-term potential for traditional IPOs, and more.