Bad News All Around for SPACs, Except One
Reading a recent issue of weekly newsletter SPAC Wire, one gets a distinct sense that the wave of blank check companies raised or announced last year are in hot water: One SPAC was voted down. Another is seeking early liquidation. One SPAC withdrew registration and another cancelled its planned merger. Three SPACs received warnings from the NYSE for failing to hold shareholder meetings, yet others are using puts and bridges to try to complete their deals. It's all quite gloomy, but there is one ray of hope for the asset class. Polaris Acquisition Corp., once the largest-ever SPAC, has set a date for its shareholder vote to approve its acquisition of Apollo Management-backed Hughes Telematic. This is significant because the deal's leader, Marc Byron, had said Polaris would not hold its shareholder vote until he was confident he had the support of enough "yes-voting" shareholders to approve the deal.
