At the SPAC of Dawn
While the SPAC market continues to await movement on any new SPAC rules, this week could bring an SEC decision on bitcoin ETFs. A half dozen investment firms updated their S-1s for their prospective exchange-traded crypto funds this morning and there is speculation that the commission could make a broad ruling on the formations January 10.
A thumbs up or down on crypto ETFs would not impact many SPACs directly, but any signal of a more welcoming regulatory environment could help revive crypto as an area of focus for still-searching SPACs. Only one SPAC deal was announced in crypto in 2023 – Global Blockchain‘s (NASDAQ:GBBK) pending combination with Cardea – following three in 2022 and six in 2021.
Two more SPACs, Blockchain Coinvestors I (NASDAQ:BCSA) and Goldenstone (NASDAQ:GDST), remain on the hunt for crypto targets specifically.
Deals and Amendments
- ClimateRock (NASDAQ:CLRC) has entered into a definitive agreement to combine with its sponsor’s subsidiary GreenRock for about $446 million in share compensation.
- AlphaTime Acquisition Corp (NASDAQ:ATMC) has entered into a definitive agreement to combine with Hong Kong-based insurance broker HCYC Group for $75 million in share compensation.
- HCM Acquisition Corp (NASDAQ:HCMA) amended the lock-up period for key holders of the company. It has been extended until the earliest of two years post-merger, when the company;s share price reaches or exceeds $12.00 for 20 days in a 30-day period starting 150 days after the merger, or when it liquidates.
News and Rumors
- Bloomberg: After years of testing, Aurora Innovation Inc. (NASDAQ:AUR) expects to remove safety drivers from trucks that are being guided by software and an array of sensors including cameras, radar and lidar, in a major step towards true automation. Aurora completed its combination with Reinvent Technology Partners Y in 2021.
- Firstpost: VinFast (NASDAQ:VFS) has agreed to invest $2 billion towards building out a new factory in India with an annual production capacity of 150,000 cars five months after closing its combination with Black Spade.
- TheEdge: Capital A CEO Tan Sri Tony Fernandes is to meet the Thai prime minister January 10 to discuss a possible divestment of a stake in its short haul airline business to meet local law restrictions on foreign ownership as it is rumored to be negotiating a combination with Aetherum Acquisition Corp. (NASDAQ:GMFI).
Real estate marketplace Opendoor (NASDAQ:OPEN) is poised to be the latest de-SPAC to take a double-digit jump on earnings as it heads towards the weekend up +10%, having spiked as high as +27% earlier in the day. The movement comes as the former Social Capital II target reported progress towards profitability despite a high rates...
At the SPAC of Dawn Coinbase (NASDAQ:COIN) notched a surprise profit of over $1.5 billion in the first quarter of 2024, well exceeding estimates, demonstrating the powerful effect of publicly traded ETFs have had on crypto marketplaces since the start of the year. The result has pushed the company to bump up its own guidance...
Online casino and sports company Rush Street (NYSE:RSI) is up +18.4% in trading today on the back of a solid first quarter earnings release, bringing the company’s stock to its highest price since the second half of 2022 (currently $7.60). This makes it the latest in a line of 2020 and 2021 de-SPACs that have...
Mountain Crest V (NASDAQ:MCAG) broke a long dealmaking silence by SPACs this morning, albeit with a non-binding agreement to combine with Seoul-based diagnostic biotech firm CUBEBIO. The term sheet would give the company a $620 million pre-transaction equity value and help accelerate the rollout of CUBEBIO’s CEED-NOVUS cancer screening kit products. The company signed an...
Churchill Capital Corp IX (NASDAQ:CCIXU) announced the pricing of its $250 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “CCIXU”, Thursday, May 2, 2024. The new SPAC will conduct a broad search and has not limited itself to any particular sector or focus, but it plans to...