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.
Car ownership has long been considered a part of the American Dream, but it’s a slice of that goal that is getting more expensive even faster that housing.
The average annual cost of owning a new car jumped +13.5% this year to $12,182 according to a AAA study cited by the NYT. That’s no small change for the 92% of households that have at least one car and SPACs have been heavily involved in the economics of auto in recent years.
Since 2019, SPACs have completed six deals with targets SPACInsider categorizes as “AutoTech” with five more announced and one new SPAC, Zi Toprun, on file to IPO with a focus on this area.
Forty-six more SPACs have either done deals recently or are seeking to do so with the makers of EV batteries or EVs themselves. But with expenses rising, there may also be opportunities in disrupting the consumer cost burdens in this space.
Americans are falling behind on their auto loans at the highest rate in almost 30 years with 6.1% of subprime auto borrowers past due on their loans by at least 60 days last month. Insurance and personal finance are tough nuts to disrupt in a risk-off environment, but the sectors have also brought some of the most successful SPAC deals of the past decade.
Limbach Holdings (NASDAQ:LMB) continues to trade above $28 seven years out from its combination with 1347 Capital. CF I closed with FGL a year later and it was later acquired for $12.50 per share in 2020, followed by Easterly‘s combination with SiriusPoint (NYSE:SPNT) in 2018 and Tiberius‘ deal wtih INTL General Insurance (NASDAQ:IGIC) in 2020 with both de-SPACs trading above $10 today.
News and Rumors
- Variety: FaZe Clan (NASDAQ:FAZE) has agreed to be acquired by peer GameSquare (NASDAQ:GAME) in an all stock transaction 15 months after combining with B. Riley Principal 150.
- Motley Fool: Cathie Wood buys up 5,000,000 shares of Ginkgo Bioworks (NYSE:DNA) across her ETFs as the Soaring Eagle merger partner continues to struggle with profitability.
- Reuters: Next.e.GO (NASDAQ:EGOX) plans three new factories in Europe and the US as next step after its combination with Athena Consumer last week.
Tavia Acquisition Corp. (NASDAQ:TAVIU) announced the pricing of its $100 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “TAVIU”, Wednesday, December 4, 2024. The Company is strategically focused on sectors pivotal to advancing sustainability and innovation, including energy transition and critical materials, circular economy initiatives, and innovative...
Target Global I (NASDAQ:TGAA) has entered into a definitive agreement to combine with robotics firm VenHub at an enterprise value of $715 million. Pasadena, California-based VenHub is developing autonomous smart stores that serve customers products through app-based orders and a robotic serving and sorting arm. The combined company is expected to trade on the Nasdaq...
At the SPAC of Dawn Travel and hospitality were hot sectors for SPACs as they boomed during the pandemic because there was a obvious upside story to tell about where each target might be once the world reopened. Since then, SPACs have largely shied away from the industry. Part of this has been the less...
Once again, the November 2024 corporate actions continues the trend of SPAC teams seeking additional extensions beyond their first one as they work to close their combinations with the remaining funds after redemptions. However, both announcements and completion vote-type corporate actions events were unusually light this month. Extension Votes In November, there were a whopping...
Future Vision II (NASDAQ:FVNNU) has entered into a definitive agreement to combine with adtech firm Viwo at an equity value of $100 million. Beijing-based Viwo provides AI-enabled targeting technology for marketers and brands in China. The combined company is expected to trade on the Nasdaq once the deal is completed by the end of the...