Social Capital Hedosophia, which was anticipated to price SPACs II & III on Monday night, but delayed due to market conditions, re-filed new prospectuses this morning with a notable change to both – their warrants included in their units, which were originally 1/4 warrants, are now 1/3 warrants.
Both Social Capital Hedosophia II (IPOB.U) and Social Capital Hedosophia III (IPOC.U), are big, brand-name SPACs, being led by Chamath Palihapitiya. So going from a 1/4 warrant to a 1/3 warrant is indicative of the larger, current market environment. If any of the current deals getting ready to IPO should be able to command a 1/4 warrant, it should be the Social Capital teams. But these are not normal times and the Coronavirus has had such a profound impact on the capital markets that changes were inevitable.
It’s been a real race to get the current crop of IPOs out the door before deal terms needed to be adjusted. However, it looks like the larger market environment has finally caught up to SPACs. Whether Social Capital’s warrant changes are meaningful enough to sell $900 million worth of SPACs remains to be seen, but terms will continue to tighten across the entire spectrum of SPAC sizes and levels.
No other significant changes were found in the prospectus of either IPOB.U and IPOC.U, and you can find the S-1 filings for SCH2 HERE and SCH3 HERE.
Lake Superior (NASDAQ:LKSPU) has filed for a $100 million SPAC as its CEO attempts to go three-for-three with SPACs that led to completed deals. This new vehicle has one right to a 1/6 share in each unit and some common features of a SPAC underwritten by Cohen & Company in this current climate. Although the...
At the SPAC of Dawn De-SPACs were among the biggest movers in yesterday’s stock market rally, but most of this momentum came on the backs of direct earnings performance. Only three US-listed companies had bigger one-day gains than quantum computing firm D-Wave’s (NYSE:QBTS) +51.2% jump. This came as the company announced $15 million in revenue...
EGH Acquisition Corp. (NASDAQ:EGHAU) announced the pricing of its $150 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “EGHAU”, Friday, May 8, 2025. The new SPAC aims to combine with a target company in the energy transition or sustainability arena that help industries achieve efficiencies and decarbonization....
At the SPAC of Dawn Fed Chair Jerome Powell announced yesterday that the body intends to keep rates unchanged, earning him the moniker “FOOL” by US President Donald Trump. But, the announcement could bring some stability to market, which has seen macro factors pull it a variety of directions since the start of the year....
Tariffs, Trade Routes, and Tech: Freightos’ View from the Cargo Frontlines 2025 is shaping up to be a wild year for global trade, and few companies have a vantage point on the impacts of every-changing tariff policy quite like digital cargo-booking platform Freightos (NASDAQ:CRGO). This week, we catch up with Freightos CEO Zvi Schreiber. He shares...