Big SPAC deals don’t need big SPACs
bloomberg.com
Big SPAC deals don’t need big SPACs
1–10 of 27 posts
Re: Big SPAC deals don’t need big SPACs
#2TLDR: You need PIPE investors. Though with the recent correction, its harder to get, so it seems SPACs are trying to find companies they can merge w/o the need for PIPE to fill the rest.
Lucid Motors at one point was valued at 70b without a single car on the road. And although Churchhill Capital 4 raised 1b, $24 billion was filled by PIPE investors iirc.
Re: Big SPAC deals don’t need big SPACs
#3I am still super long PSTH. It's the biggest SPAC ever led by a reputable value investor. The target will be huge (Stripe, Starlink, etc.)
Re: Big SPAC deals don’t need big SPACs
#4I am still super long PSTH. It's the biggest SPAC ever led by a reputable value investor. The target will be huge (Stripe, Starlink, etc.)
Ackman is an activist investor not a value investor. Ackman already said Stripe declined his approach.
Re: Big SPAC deals don’t need big SPACs
#5I am still super long PSTH. It's the biggest SPAC ever led by a reputable value investor. The target will be huge (Stripe, Starlink, etc.)
Ackman is an activist investor not a value investor. Ackman already said Stripe declined his approach.
An activist investor is a kind of value investor. "These assets are worth more than the market says - the discount is bad management. Let's buy the assets cheap (good value) and change the people who, as owners, we pay to manage those assets."
The idea that such an approach is anything but value and anything but completely normal and somehow rebellious and untrustworthy is quite weird and speaks to some kind of capture of highly paid management position by some kind of group of people. (I really hesitate to use the word "class" because these people might be a temporary alliance including the born poor and status challenged - the marxist "born to it" doesn't help the analysis much at all. Think the cool, sports jock table at high school).
Re: Big SPAC deals don’t need big SPACs
#6I am still super long PSTH. It's the biggest SPAC ever led by a reputable value investor. The target will be huge (Stripe, Starlink, etc.)
is there any reason to think starlink is even a possibility? i dont know much about all this but browsing reddit a few weeks ago that seemed like the meme possibility, in the same way that GME was going to go to $10000 a share.
Re: Big SPAC deals don’t need big SPACs
#7I am still super long PSTH. It's the biggest SPAC ever led by a reputable value investor. The target will be huge (Stripe, Starlink, etc.)
What's reputable about value investors when they haven't had worthwhile returns in at least 10 years?
Re: Big SPAC deals don’t need big SPACs
#8TLDR: You need PIPE investors. Though with the recent correction, its harder to get, so it seems SPACs are trying to find companies they can merge w/o the need for PIPE to fill the rest. Lucid Motors at one point was valued at 70b without a single car on the road. And although Churchhill Capital 4 raised 1b, $24 billion was filled by PIPE investors iirc.
What are PIPE investors? Do they get favourable terms?
Re: Big SPAC deals don’t need big SPACs
#9I am still super long PSTH. It's the biggest SPAC ever led by a reputable value investor. The target will be huge (Stripe, Starlink, etc.)
Reputable companies don’t need SPACs. I’d guess there is close to zero chance of any SPAC landing a high quality company like stripe, Starlink etc...
Re: Big SPAC deals don’t need big SPACs
#10TLDR: You need PIPE investors. Though with the recent correction, its harder to get, so it seems SPACs are trying to find companies they can merge w/o the need for PIPE to fill the rest. Lucid Motors at one point was valued at 70b without a single car on the road. And although Churchhill Capital 4 raised 1b, $24 billion was filled by PIPE investors iirc.
What are PIPE investors? Do they get favourable terms?
Private investment in public equity. Generally, yes, but it's negotiated arm's length yet opaque; in addition there's various consideration to the legality/optics/consequences of selling a (large) stake at a (material) discount to current market spot rates.