Software Acquisition Group Inc. Files $125M SPAC
by Kristi Marvin on 2019-10-28 at 1:21pm

Friday evening, we had a second SPAC file for IPO with the $125 million Software Acquisition Group Inc. (SAQNU). SAQNU will be led by Jonathan Huberman, who was previously Chief Executive Officer of Ooyala (“Ooyala”), a provider of media workflow automation, delivery and monetization solutions.  Additionally, Mr. Huberman will be joined by Mike Nikzad, as Vice President of Acquisitions.  Mr. Nikzad’s background also includes Ooyala, having previously been its President and Chief Operating Officer until its sale in 2019.

Obviously, Software Acquisition Group will be focusing on….software and it has been an especially popular sector as of late. Apex Technology, which IPO’d last month, has software as a focus, as does Osprey Technology, which should IPO this week. However, if you compare the “Proposed Business” sections of all three of these SPACs, SAQNU’s look a little thin. Both Apex and Osprey Tech have well thought out narratives and strategies and are chock full of facts and figures.  SAQNU’s, on the other hand, doesn’t appear to be as strong.  Which is interesting because in the past, SPACs were sold primarily based on the reputation, experience and rolodex of the teams. In fact, a “General/Broad” focus (no sector), where a team stated they were going to look at everything, used to be way more popular. A sector-focus was really secondary to the team’s bona fides. But as SPACs evolved, sector-focus began to play a bigger role. And now, just having a sector focus is no longer enough. A team really needs to demonstrate the opportunity.  That they’ve done “the work” and ideally, they’ve already sliced and diced their target market and have demonstrable, actionable “opportunities” before they’ve even hired their bankers.  Having said that, it’s hard to get a sense of a deal just from reading the prospectus, and maybe SAQNU will be great on the road. But they say timing is everything and SAQNU filed their software-focused SPAC right on the heels of two others, so comparisons are inevitable.

With comparisons in mind, SAQNU is a 100% in trust, 18 months, 1/2 warrant SPAC, similar to Apex and Osprey Tech, which both have 24 months life instead. And while 18 months is sweeter than 24 months, that 1/2 warrant doesn’t feel entirely comfortable. Perhaps a 3/4 warrant would be more palatable, but let’s let them hit the roadshow first and tell their story.

Look for this SPAC to price mid-November.

Summary of terms below:

Software Acquisition Group terms 10-27-19

 

Software Acquisition Group Inc. Files $125M SPAC
Recent Posts
by Kristi Marvin on 2025-07-10 at 8:31am

A look at Plus’ software-first approach to autonomous trucking. After years of investment and excitement, the dawn of self-driving cars and trucks is now here. The question now is which business model among autonomous driving technology companies will win out? This week, we speak with David Liu, CEO of autonomous trucking company Plus. Plus announced...

by Nicholas Alan Clayton on 2025-07-10 at 8:27am

At the SPAC of Dawn One thing that SPAC investors can typically count on while their money is invested in a SPAC’s trust is that it is going to grow one way or the other between now and their next redemption opportunity, but the devil can occasionally be in the details. In 2024, it became...

by Nicholas Alan Clayton on 2025-07-09 at 12:57pm

Thunderstone has filed for a $50 million SPAC to put a new first-time Asia-based team in action on a generalist hunt. The new SPAC is offering investors a right to a 1/8 share in each unit with 18 months to initially complete a business combination. It is the 8th fresh S-1 filed with underwriter D....

by Nicholas Alan Clayton on 2025-07-09 at 8:22am

At the SPAC of Dawn In a trading session that may find itself built around the release of Fed minutes at 2 pm ET this afternoon, a pair of SPAC targets have added their own fresh information to the mix. Enterprise AI firm Fusemachines, which has a pending combination with CSLM (OTC:CSLMF), put out a...

by Nicholas Alan Clayton on 2025-07-08 at 8:11pm

Globa Terra Acquisition Corporation (NASDAQ:GTERU) announced the pricing of its $152 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “GTERU”, Wednesday, July 9, 2025. The new SPAC plans to mount a search for a target in the agriculture, agtech or biotech sectors with an emphasis on water...

logo

Copyright © 2025 SPACInsider, Inc. All Rights Reserved