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They can get in on a company much earlier than if it took the time to IPO. This gives higher risk and higher (expected) reward.
by tlb 4y ago
They can get in on a company much earlier than if it took the time to IPO. This gives higher risk and higher (expected) reward.
- leereeves 4y agoHigher reward because the SPAC pays a lower price than the IPO price? That seems to be against the interests of the company and the current investors, who want to get as much as possible from public investors, so I'm skeptical. Or higher reward because the eventual price would be higher after an SPAC acquisition? I don't see why that would be true a priori, so what's the evidence?