2021 – a Jekyll and Hyde year for SPACs
SPACs were the darling of Q1 2021 with 298 SPACs raising a total of USD88 billion, exceeding the USD76 billion raised in the whole of 2020 and representing a 2,200% increase year on year versus Q1 2020. In comparison, since 1 April 2021 only 20 SPACs have priced with commentators now questioning the market for SPACs. In this article we offer our views on why this has happened and look ahead to the future for SPACs and what may happen next.