At the SPAC of Dawn
Good morning! Watch this space moving forward as a roundup of evening filings as well as news nuggets to nibble on beside your morning coffee.
SPACs had a quiet start to the week yesterday with the market digesting a new Middle East war and extra helpings from Canadian Thanksgiving.
The question now is what sort of lasting affect the new outbreak of violence will have. Although US exchanges tumbled out of the gate, they finished the day with a gain – one that was not shared by Israeli de-SPACs broadly. HUB Cyber Security (NASDAQ:HUBC) was one exception as the Mount Rainier target jumped up +180% late in the trading session.
More broadly, major defense stocks like Northrop Grumman (NYSE:NOC) and Lockheed Martin (NYSE:LMT) logged positive momentum alongside oil stocks as is to be expected. But, crude oil prices have ticked up only slightly at $86.28 near the beginning of the day, well below their 52-week high above $95.
Oil prices are no longer the bellwether for the US economy that they once were, and interest rates may instead be the ripple that changes things for SPACs. Fed officials intimated that recent rises in long-term Treasury yields might preclude the need for further hikes.
Yet, throughout the day those yields were trending lower, indicating that a general risk-off sentiment – never a positive for SPACs – might linger.
News and Rumors
- PR: Hudson Acquisition I Corp. (NASDAQ:HUDA) mourns the loss of CFO Hon Man Yun, who passed away October 3. The SPAC announced an LOI with a biotech company in March.
- Motley Fool: Ackman’s SPARC provides an attractive wrinkle for SPAC investors, but also comes at a time when the IPO market appears to be returning.
- PR: Japan-based AERWINS, which combined with Pono in February, will launch a US subsidiary for a new hoverbike design, with Executive Chariman and President Kiran Sidhu putting up $300,000 of the initial working capital.
International SPAC News
- London-listed SPAC Net Zero Infrastructure (LSE:NZI) has signed a non-binding letter of intent to combine with Australian energy company LINE Hydrogen.
Hennessy Capital Investment Corp. VII (NASDAQ:HVIIU) announced the pricing of its $175 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “HVIIU”, Friday, January 17, 2025. The new SPAC intends to seek out a business combination with a company in the industrial technology and energy transition sectors. Hennessy...
Equites and crytpo trading platform eToro has reportedly filed for a traditional IPO two-and-half years after nixing its SPAC combination and its renewed thrust to the public markets could provide a useful demonstration of where things sit for SPACs in 2025. For one, eToro is reportedly making its IPO move at a valuation of $5...
At the SPAC of Dawn Right on the heels of a mostly positive inflation picture, SPACs are set to take in a raft of new indicators for retail sales, import prices and homebuilder confidence later today. SPACs may have some extra confidence of their own knowing that one of their major foes on the de-SPAC...
At the SPAC of Dawn After an up-and-down week on the market, all eyes are set to be glued to this morning’s Consumer Price Index readouts for signs of where the Fed might take its rate-cut strategy. US exchanges had a slightly positive day in reaction to Core PPI coming in at 0.1% for December...
Ribbon Acquisition Corp. (NASDAQ:RIBBU) announced the pricing of its $50 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “RIBBU”, Wednesday, January 15, 2025. The new SPAC intends to take a generalist approach in searching for a business combination, but will not consider targets located in China. Ribbon’s...