SPAC

“Did you know that you cannot create a forecast when you go public through a traditional IPO? No, I cannot show a multi-year projection of what you think the business can do. So there's all these arcane rules that you can work around that a SPAC solves.”

“And so from the company's perspective, this is a much easier and straightforward way to get to the public markets.”

“SPACs follow the same pattern, but they're really just a few decades behind.”

“So we don't want to get out 20 SPACs consecutively off the runway unless we can assure that there'll be 20 enduring businesses. So we'll move at the pace only that we can find the best companies to partner with.”

“It's really only based on people, because there's no assets, there's no P and L, or there's a small, tiny L, but no P, because it's just amount of money held in trust.”

“We see this SPAC phenomenon, not as a flash in the pan, not as a quick up and down. That'll be a passing fancy of the 20 twenties, but really an enduring vehicle to bring our innovation companies to market.”

“Historically there really hasn't been a transaction that's involved multiple SPACs working with the same target.”

“That if there is a fair deal for both sides, that if there's a fair deal that the partner companies really see out there, you're going to attract the best companies. You're not going to attract the B and C companies.”

“In general, and what the rule of thumb is that a vehicle based on the size of the capital really looks to partner with a company that's four to six times market cap. So that would be 800 to 1.2 billion, or really just going after that billion dollar sweet spot…”

“They're saying that it's time to get out in the public market sooner and have a much broader audience and a much broader reception to picking and choosing investors. So you don't see these decisions made in the darkness of a one or two preemptive Bidders on a …”

“What we do see, and what we do predict, unfortunately, is something akin to perhaps the dot-com bubble in 99 and 2000, where you saw a lot of bright, shiny objects, and big flash in the pan market seeming successes, and then you'll see a lot of these coming do…”

“For our SPAC, we plan to kind of address this when we're negotiating with a specific partner company to make sure that whatever deal we end up with, we are fully aligned.”

“We had this org meeting on June, we'd filed in early July, our S-One flipped public in early August, and we launched and were public On August, so that's 60 days, and that's with four people”

“I think SPACs are here to stay, and we're going to see a lot of companies using that as a alternative to IPOs and direct listings over the next several years.”

“You can put a SPAC together in two to three months in terms of the acquisition part and going public versus taking six, seven, eight months to really get a company ready for an IPO.”

“To date, a lot of the companies that have gone out via SPAC are more speculative than ones that would take a traditional IPO route, and you could measure that by their level of profitability or their level of immaturity from a revenue standpoint, some of which…”

“I believe a large part of why it's Possible is because of the problems with the IPO market.”

“And so I fully expect in the next five, 10 years, more founders to consider that route because it was not something that I had heard of and not something my board had heard of, but we just looked at it from the ground up and dissected it and ended up feeling r…”

“So I think that's going to create an incredible amount of competition amongst the SPACs to get deals done. And then the quality of those deals will inevitably trend downward, which will then make SPACs, you know, look bad and they will then go away for a perio…”

“I think it'll go too far. You know, the SPAC Invasion of the SPACs. I think some of that will end badly. It's too much too quick, I believe, but in general, more public companies, more capital, more funds is good for us, and more importantly, for our companies…”

“The thing that I say to them always is it's a totally fine path to go down as long as it's not seen as a milestone and you're just ready to be a public company, you know, after you're done with it.”

“That's really the role of the CEO and the board to choose wisely, but all of them have their merits and they're harmonizing a bit Where the differences are quite small at this point, and very nuanced.”

“You know, everyone says SPACs are expensive, but when your stock pops 50 to 70% in the IPO, that's way more expensive than a SPAC, and so it created this window.”

“I think there will still obviously be new listings and direct listings and probably not as many SPACs. That's a different topic. I do think you'll still have some activity, but not like last year.”

“They have forced more innovation, innovation in the traditional bank IPO. They have forced more innovation in the direct list market.”

“18 months, you're going to see dead spat. Literally, they're going to disband and give the money back to investors. Maybe 90% of them.”

“The way the SPAC works, you build a company for as long as it takes you to build a company, you get it to a position where you think it can maybe endure the public markets, and then in that critical moment, you give somebody else who doesn't know your company …”

“When you look at SPACs today, I think, like, 98% are trading abysmally below, you know, trading price originally.”

“At the time, I said SPACs were gonna, I made the comment, like, I was like, 85, 90% of these SPACs are gonna be a disaster. And it turns out I was wrong. I was too generous.”

“Honestly, I don't regret going out via SPAC.”

“Why, why not do something more meaningful with the world rather than do something like a SPAC, which is at the edge of grift?”

“The fact that the structure is back is indicative of a bubbly time.”

“Now, the investor comes in at 10. Until the stock gets to 15, the sponsor gets nothing, but once it gets to 15, they get a 30% promote, so it's not cheap, but it's a little better than before.”

“I still, I'm skeptical it'll be an amazing replacement to IPOs, but it definitely is less egregious and less misaligned than the last time.”

“The SEC has really tight laws about what you can say about an IPO. Really, really tight, and you can't make any future leading statements at all. But bizarrely enough, SPACs are exempt from that, so you're allowed, because it's a merger, so you're allowed from…”