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Has any SPAC ever actually succeeded in the sense that whatever it purchased didn't die after a year or was atleast profitable? Every one of them always seemed
by rpcope1 2y ago
Has any SPAC ever actually succeeded in the sense that whatever it purchased didn't die after a year or was atleast profitable? Every one of them always seemed like a huge obvious scam to dump the bags on dumb money.
- khuey 2y agoThey succeeded in the sense that Chamath Palihapitiya et al made a shitload of money out of hawking them.
- TikTikFook 2y ago[dead]
- AtlasBarfed 2y agoHe's ALL IN!!!!
- jonnybgood 2y agoOff the top of my head: DraftKings, Lucid, ChargePoint
- hn_throwaway_99 2y agoI mean DraftKings is currently successful, and while I think Lucid makes fantastic cars and I want ChargePoint to succeed, they may not be dead but their stock is well below the $10 SPAC price and they're far from profitable.
- winrid 2y agoHippo Insurance (HIPO)
- csomar 2y agoLucid and ChargePoint are yet to be out of the jungle and still being pumped by investor money.
- hn_throwaway_99 2y agoI was going to ask this same question. Literally every SPAC I can think ranged from bad to unmitigated disaster. Probably my favorite example is Getaround, the car sharing company that tanked immediately after the SPAC merger. How did that deal even happen? Does anyone know of a site that tracks the outcome of SPAC mergers? I found some articles but most of them are pretty old. Curious if there have been any successes. It feels like so much "financial innovation" of the past 30 years in that it was just a way for rich people to get even richer and, as you say, leave the dumb money as bag holders.
- bpodgursky 2y agoRocket Lab
- michaeljx 2y agoAnd potentially QuantumScape, although they've been through their SPAC related shenanigans and relevant lawsuit, they seem to be doing ok now
- runako 2y agoSOFI makes money. It's down a bit from the merger price, but I think it's fair to say it's a real company with a real business model.
- hangonhn 2y agoI think that’s sort of the point of SPAC: a lot less scrutiny than a full on IPO so shakier companies can go public. If someone is the type who willingly hand over their money knowing what a SPAC is and does, he’s a contrarian who smarter than everyone else, an idiot, or someone who thinks he can make a quick buck by letting the idiot hold the bag at the end — but really the latter two end up being the same.
- pavlov 2y agoI maintain a little de-SPAC portfolio to track their progress. Many of them are dead, there's about 50 companies left in my tracking now. The only companies on this list with stock prices over the original $10 SPAC price are: - Oklo (mini nuclear reactors) - DraftKings (gambling) - Hims & Hers (wellness telehealth) - Grindr (gay hookup app) The majority of companies have lost 80-95% of their original value. Many SPACs have done a big reverse split, so their price appears to be over $10 but the original price would have been in the hundreds.
- smcin 2y agoOk, but Grindr and DraftKings were already viable businesses for a decade before SPACmania.
- pavlov 2y agoYep. I think Hims & Hers is the very rare SPAC that was a new company at time of its listing (founded in 2017), and has managed to deliver both profits and shareholder value. Perhaps it's even the only one.
- bagels 2y agoDJT?
- bryanlarsen 2y agoWhat about RKLB (Rocket Lab), which is currently at $29?