Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.
Latest SPAC News: Palihapitiya blames the Fed for market conditions, Johannesburg Stock Exchange changes listing rules, and Zukin Certification Services partners with Banyan Risk to offer SPAC D&O insurance
Chamath Palihapitiya blames the Fed for ‘perverted’ market conditions that benefited him
Billionaire investor and so-called SPAC King Chamath Palihapitiya said the zero interest rates the Federal Reserve allowed to persist for years created the “perverted” market conditions he benefited from at the height of the Covid pandemic.
Speaking with Axios at an event Wednesday, Palihapitiya explained what he felt contributed to the rapid rise and collapse of the SPAC market, the shorthand for special purpose acquisition companies, which created a way for young firms to go public without some of the usual IPO hurdles. SPACs, which grew in popularity in the first two years of the pandemic, have seen a reset amid economic and regulatory headwinds.
JSE changes listing rules in effort to attract more firms
The Johannesburg Stock Exchange (“JSE”) is implementing measures to amend listing requirements for companies in order to attract more firms. “It is our ongoing objective to create an enabling environment for listing on the JSE as we take into account international best practices,” said Andre Visser, director of issuer regulation at the JSE in the statement.
The JSE will also amend its SPAC rules “to align with international leading markets to ensure the attractiveness and competitiveness of SPACs”, it said, without elaborating on the changes. Spacs are firms with no business operations which merge with a private company to take it public.READ
Zukin Certification Services and Banyan Risk Bundle Reasonable Basis Review of SPAC Target Projections with SPAC D&O Insurance
Zukin Certification Services (ZCS) today announced its partnership with specialty insurer Banyan Risk to offer discounted Directors’ and Officers’ insurance in combination with a subsidized Zukin Reasonable Basis Review (Zukin RBR™), an essential service designed to provide SPACs with an independent review of a target company’s financial projections.
Since receipt of a Zukin RBR Certification can serve to mitigate a transaction’s risk profile, Banyan will offer its SPAC clients both a subsidized rate on the Zukin RBR service as well as discounted D&O insurance premiums.READ
Illinois Gaming Board Confirms Tekkorp’s Sports Wagering License Withdrawal
The Illinois Gaming Board confirmed Thursday that it had approved Tekkorp Corporation’s withdrawal of its application for one of the state’s three online-only sports wagering licenses and announced that the period for submitting applications for the supplemental bidding process will open Tuesday.
The announcement by IGB Administrator Marcus Fruchter was expected given that, earlier this month, Tekkorp announced it would not seek shareholder approval to extend talks with Playtech, Caliente Interactive, and Caliplay. The decision led to the winding down of the SPAC the two sides had planned as part of the bid, effectively ending the pursuit of entry into the Illinois market. Fruchter disclosed during Thursday’s state agency meeting that Tekkorp made the request to withdraw its application on Oct. 14, and he approved the request three days later.READ
Considerations for Creating Shareholder Value in a Volatile Market Join us for a virtual panel on December 14, 2022 The current trends of rising interest rates and inflationary cost increases, among other things, have imposed downward pressures on publicly traded equity prices, especially for businesses that became publicly traded via a de-SPAC merger. Please...
Below is a daily summary of links to the latest SPAC news and rumors gathered across the web. Latest SPAC News: Virgin Galactic appoints new top lawyer, Trump Media SPAC rises after investors approve merger deadline extension, and Al Maadeed to be first Qatari to list company on NYSE Virgin Galactic, Preparing for Liftoff,...
PMV Consumer (OTC PINK:PMVC) announced that it is redeeming all non-insider public shares for approximately $10.09 per share, but it will not be dissolving just yet. The SPAC is set to provide written redemption notices to each shareholder and trust proceeds are to be distributed within 30 days of these notices. PMV Consumer will then...
Below is a daily summary of links to the latest SPAC news and rumors gathered across the web. Latest SPAC News: Ex-Marvel chief takes the wheel at Arrival, Paysafe plans reverse stock split, and Dave Inc. to pursue a bank charter Founder of troubled electric van maker Arrival steps aside as CEO The founder...
Digital World (NASDAQ:DWAC) announced late Wednesday that its shareholders have approved amending its charter to allow for automatic three-month extensions of its transaction deadline until September 8, 2023. This brings to close a long drama during which Digital World adjourned the vote without concluding business six times at different meetings in September, October and November....