How does a SPAC work? A special purpose acquisition company (SPAC), sometimes called blank-check company, is a shell company that has no operations but plans to go public with the intention of acquiring or merging with a company with the proceeds of the SPAC’s initial public offering (IPO). Utilizing a SPAC has increased in recent years; 2019 had a record high of over 13B IPO fundraising activity and their popularity is increasing.

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