The Nightcap
Nightly recap of all the day's SPAC highlights (Feb 5th, 2021)
February 5th, 2021
Good evening,
Thanks for reading “The Nightcap”, a nightly recap of all the day’s highlights in the SPAC world. In this newsletter, you will find a breakdown of the day’s deals, IPO’s, “in talks” reports, and noteworthy new SPAC S-1 filings.
Of course, you can always discover and track all of the SPACs at spactrack.net.
The SPAC Market Stats:
Volume Leaders:
Top Gainers:
Top Losers:
The Deals:
NONE! But don’t fret, there is plenty of action below to keep you entertained.
Deal News Reports:
1) Decarbonization Plus Acquisition Corp (DCRB) and Hyzon, a fuel cell truck company, are said to have agreed to merge at a valuation of over $2B, according to Bloomberg. This Bloomberg report was released Thursday night after the Nightcap was published. DCRB did not announce the deal on Friday.
2) Reinvent Technology Partners (RTP), which is led by Reid Hoffman (LinkedIn Co-founder) and Mark Pincus (Zynga Founder), is said to be in talks to merge with Hippo, an InsurTech company, at more than a $5B valuation, according to Bloomberg.
3) Gores Holdings VI Inc. (GHVI) is said to be in talks to merge with Matterport, maker of a 3D virtual tour software platform, at a valuation of over $2B, according to Bloomberg.
Other SPACs that have been said to be in talks according to reports over the past month, but are pending further update:
1) Apollo Strategic Growth Capital (APSG) & Solera Holdings (Bloomberg reported on 2/4)
2) Fusion Acquisition (FUSE) & MoneyLion (Bloomberg reported on 1/28)
3) Falcon Capital Acquisition Corp (FCAC) & Sharecare (Bloomberg reported on 1/26)
4) CF Finance Acquisition Corp. III (CFAC) & AEye (Bloomberg reported on 1/14)
5) Churchill Capital Corp IV (CCIV) & Lucid Motors (Bloomberg reported on 1/11)
CCIV closed the day at $34.65
Bonus:
WSJ reported on 1/28 that WeWork was considering an offer from “a SPAC affiliated with Bow Capital Management LLC”. A SPAC affiliated with Bow Capital Management is BowX Acquisition Corp (BOWX). The deal could give WeWork a valuation of around $10B.
In January 2019, WeWork was valued at $47B.
This report isn’t included in the above list as BowX Acquisition Corp isn’t explicitly referenced in the WSJ article.
Marcelo Claure, WeWork’s Executive Chairman and COO of SoftBank Group Corp, commented on this at a Bloomberg conference last week:
“We have SPACs approaching us on a weekly basis.” “We’re humbled that is happening because a year ago, nobody wanted to even be associated with WeWork.”
Notable New SPAC S-1 filings:
We all had a feeling SoftBank would eventually be making an appearance in the SPAC world and they have certainly gone all in. SoftBank affiliates now have 4 SPACs either Active or in the Pre-IPO stage, not including SPACs affiliated with Fortress Investment Group (a SoftBank subsidiary).
1) & 2) SVF Investment Corp 2 (SVFB) and SVF Investment Corp 3 (SVFC)
Affiliates of SoftBank
Focus for both: Tech (AI and IoT)
SVFB: $200M, 1/5 warrant
Led by Munish Varma (Managing Partner of SoftBank Investment Advisers In London, EMEA: Asia)
SVFC: $350M, 1/5 warrant
Led by Ioannis Pipilis (Managing Partner of SoftBank Investment Advisers In London)
The other two SoftBank affiliated SPACs:
LDH Growth Corp I (LDHA — Pre-IPO) which is led by Marcelo Claure, the President and COO of SoftBank Group
SVF Investment Corp 1 (SVFA — closed today at $12.73)
3) USHG Acquisition Corp (HUGS)
$250M, 1/3 warrant
Focus: Tech, e-Commerce, Food & Beverage, Health, Retail, Consumer
Chairman:
Danny Meyer (Founder and Chairman of Shake Shack, CEO of Union Square Hospitality Group or USHG)
Directors:
Randy Garutti (CEO of Shake Shack, Director of Square)
Walter Robb (Former Co-CEO of Whole Foods)
Robert Steel (Chairman and Partner of Perella Weinberg Partners, Former CEO of Wachovia, Former Vice Chairman of Goldman Sachs, and Former Deputy Mayor for Economic Development under Mayor Bloomberg)
4) Arctos NorthStar Acquisition Corp. (ANAC)
$275M, 1/3 warrant
Focus: Sports, Media, and Entertainment
Chairman:
David “Doc” O’Connor (Former CEO of The Madison Square Garden Company)
CEO:
Theo Epstein (Former General Manager of the Boston Red Sox and Former President of Baseball Operations for the Chicago Cubs)
Directors:
Xavier Gutierrez (CEO of the Arizona Coyotes Hockey Club)
Jared Smith (Former President & Global Chairman of Ticketmaster Entertainment)
5) Colicity Inc. (COLI)
$275M, 1/5 warrant
Focus: TMT
Chairman and CEO: Craig McCaw (Founder of McCaw Cellular and Clearwire Corp
The sponsor’s previous SPAC, Holicity (HOL) announced its merger with Astra, a space launch company, on Tuesday. HOL closed the day at $19.37.
6) Athena Technology Acquisition Corp (ATHN)
$250M, 1/3 warrant
Focus: Tech, Direct to Consumer, Fintech
All women-team led by Isbelle Freidheim as the Chairman (Co-founder & Managing Partner of Starwood VC) and Phyllis Newhouse as the CEO ( Founder of XtremeSolutions)
Directors include Judith Rodin (Former President of The Rockefeller Foundation and Former Director of Comcast and American Airlines) and Kristen Dickey (Director of BNY Mellon)
SPACs Leaving the Nest:
FS Development Corp (FSDC) announced that it has completed its business combination with Gemini Therapeutics. Gemini will begin trading as GMTX on Monday, February 8.
Upcoming Dates:
Shareholder Meetings Next Week:
Tuesday, 2/9:
INSU Acquisition Corp. II (INAQ) Shareholder Meeting to Approve Business Combination with Metromile
Panacea Acquisition (PANA) Shareholder Meeting to Approve Business Combination with Nuvation Bio
Mountain Crest Acquisition Corp (MCAC) Shareholder Meeting to Approve Business Combination with Playboy
Thurs, 2/11:
Switchback Energy Acquisition Corp (SBE) Shareholder Meeting to Approve Business Combination with ChargePoint
Fri, 2/12
Longview Acquisition Corp (LGVW) Shareholder Meeting to Approve Business Combination with Butterfly Network
Unit Splits (common shares and warrants to commence trading separately from underlying units):
Mon, 2/8:
INSU Acquisition Corp (IIII), Golden Falcon Acquisition Corp (GFX), MedTech Acquisition Corp (MTAC)
Tues, 2/9
Big Cypress Acquisition Corp (BCYP)
Thurs, 2/11
Northern Star Investment Corp II (NSTB)
Visuals are tight:
For a fun way to end this absolutely wild week of action in the SPAC world, I thought I would share another signature SPAC Track graphic. Who else besides SPAC investors in 2021 are familiar with high paced action? Professional athletes for one! Here are some of the prominent current and former professional athletes that have tossed their hats into the SPAC ring — or perhaps should they be known as … the SPACletes?
Thank you for reading. Enjoy your weekend and I hope to see you back here on Monday.
Thanks,