“More Evidence of How Frothy SPACs Can Be”

Bloomberg | June 2, 2021

SPACs have indicated since April 2020 that they anticipate earning 1% or more on the cash they raise before spending it on acquisitions, but the actual interest reported so far is only a fraction of this.

In this article, Pratap Narayan Singh highlights the failure of SPACs to guarantee interest rates promised to investors and the resulting loss of confidence.

Extract from the article: “Anyone tracking the Treasury market could have figured out that a 1% rate was just not going to happen… Once you lose confidence in the interest-rate calculation, which is a basic thing, then you lose confidence in everything else.”

Latest News

Bloomberg
In Hot Credit Market, Fixed-Maturity Funds Are Booming

AT1 Funds, European Bank, Fixed- Maturity Funds

Read More
CXOtoday
Shaping the Future of Financial Services: Insights and Leadership Strategies from Acuity Knowledge Partners

Read More
Good Returns
How Robust Domestic Economy Propels Indian Equity Markets To New Highs?

Domestic Liquidity, Economic Growth, Equity Markets

Read More
Middle East Insurance Review
Boosting impact investment for insurers in MENA

ESG, Investment, MENA

Read More
Structured Credit Investor
Interest returning to CRE market as conditions improve

CRE, Market conditions, securitisation

Read More
INSIGHTS
Regulating the lenders: RBI’s focus on fair and transparent lending

Digital Lending, innovation, Lending Market

Read More