Live data from Hacker News

Could giant SPACs be next?

techcrunch.com

41–50 of 70 posts

Re: Could giant SPACs be next?

#41
post #22

Been trading SPAC's recently. Seeing a huge influx of SPACs in renewable energy. Jump in at the beginning and the most you can lost is 10$ if the SPAC fails. When it receives a letter of intent(LOI) you'll see a big boost to the stock price. When the definitive agreement (DA) is announce there is another 20% jump. After the merge and symbol change, the price drops and then slowly comes up. With so many coming out, ju…

I thought you get your $10 back if there's no merger. Is this not the case?

Re: Could giant SPACs be next?

#42

If you do not want to hold your money in the bank. Nor do you want to invest your money in artificially inflated stock. Coming out of the pandemic we are going to see a monumental shift in lifestyle and economics. It is that crisis that replaces old guards with new champions. SPACs had a bad reputation, but in the current circumstances seem pretty reasonable. I guess in terms of risk-benefits it is an intermediate be…

“Nor do you want to invest your money in artificially inflated stock.”

How does a SPAC possibly help with that? One of the more notable SPACs was Nikola, which had effectively no revenue, and was very unstable.

https://www.google.com/finance/quote/NKLA:NASDAQ?sa=X&ved=2a...

Re: Could giant SPACs be next?

#43
post #35
post #15

Earlier quoted context omitted.

Interesting -- as a UK native, I don't recognise that. Maybe it's limited to certain regions/subcultures/???

The word was definitely used (and was understood to be offensive) when I was growing up - in Worcestershire in the 90s. I wonder if it's fallen out of use since then.

I'm assuming it was meant as a shortening of "spastic"? In which case the version I'm familiar with would be "spaz", though it must be years -- probably decades -- since I've run across it.

Re: Could giant SPACs be next?

#44
post #15
post #8

Earlier quoted context omitted.

Unfortunately, in the UK this is a deeply hateful term for disabled people. Actual hate speech if you couple it with violence etc. What's the old saying? Two cultures divided by a common language..

Interesting -- as a UK native, I don't recognise that. Maybe it's limited to certain regions/subcultures/???

I'm from the midlands and live in Yorkshire. It is recognised by people in both places. Odd.

Re: Could giant SPACs be next?

#45
post #22

Been trading SPAC's recently. Seeing a huge influx of SPACs in renewable energy. Jump in at the beginning and the most you can lost is 10$ if the SPAC fails. When it receives a letter of intent(LOI) you'll see a big boost to the stock price. When the definitive agreement (DA) is announce there is another 20% jump. After the merge and symbol change, the price drops and then slowly comes up. With so many coming out, ju…

I think this is a rather oversimplified view of SPACs. Matt Levine recently wrote a nice piece about the magic of SPACs. Here is a paper he cites: https://corpgov.law.harvard.edu/2020/11/19/a-sober-look-at-s...

Any talk of magic when it comes to money reminds me of the vague, hand-wavy claims of people peddling pyramid schemes.

Re: Could giant SPACs be next?

#46
post #12

What's the difference between a SPAC and what used to be called a "reverse merger"? I.e., when a smaller (but publicly traded) company, merges with a larger private company. These used to be pretty common scammy ways to generate capital, usually through pump and dumps. Same thing, just new acronym?

SPACs are just blank check, shell companies. Often reverse mergers would occur with junk penny stocks resulting in the pump-and-dump activities you mention. I think SPACs are “cleaner”...

Re: Could giant SPACs be next?

#47
post #45

Earlier quoted context omitted.

I think this is a rather oversimplified view of SPACs. Matt Levine recently wrote a nice piece about the magic of SPACs. Here is a paper he cites: https://corpgov.law.harvard.edu/2020/11/19/a-sober-look-at-s...

Any talk of magic when it comes to money reminds me of the vague, hand-wavy claims of people peddling pyramid schemes.

I mean... read the article before you go off on your soapbox. It's not suggesting that SPACs are "magic" as in pull a rabbit out of a hat. It's actually describing the technicalities of who is paying for what in a SPAC.

Re: Could giant SPACs be next?

#48
post #22

Been trading SPAC's recently. Seeing a huge influx of SPACs in renewable energy. Jump in at the beginning and the most you can lost is 10$ if the SPAC fails. When it receives a letter of intent(LOI) you'll see a big boost to the stock price. When the definitive agreement (DA) is announce there is another 20% jump. After the merge and symbol change, the price drops and then slowly comes up. With so many coming out, ju…

How do you get into trading SPACs? Where do you trade them and where do your tips come from?

Re: Could giant SPACs be next?

#49
post #42

If you do not want to hold your money in the bank. Nor do you want to invest your money in artificially inflated stock. Coming out of the pandemic we are going to see a monumental shift in lifestyle and economics. It is that crisis that replaces old guards with new champions. SPACs had a bad reputation, but in the current circumstances seem pretty reasonable. I guess in terms of risk-benefits it is an intermediate be…

“Nor do you want to invest your money in artificially inflated stock.” How does a SPAC possibly help with that? One of the more notable SPACs was Nikola, which had effectively no revenue, and was very unstable. https://www.google.com/finance/quote/NKLA:NASDAQ?sa=X&ved=2a...

.. And is still up 100% last 52wks?

Re: Could giant SPACs be next?

#50
post #48
post #22

Been trading SPAC's recently. Seeing a huge influx of SPACs in renewable energy. Jump in at the beginning and the most you can lost is 10$ if the SPAC fails. When it receives a letter of intent(LOI) you'll see a big boost to the stock price. When the definitive agreement (DA) is announce there is another 20% jump. After the merge and symbol change, the price drops and then slowly comes up. With so many coming out, ju…

How do you get into trading SPACs? Where do you trade them and where do your tips come from?

/r/spacs/ but its a lot of hypemen/astroturfing to sort through.
Post reply on HN