SPAC

American  

[es-pee-ey-see, spak] / ˈɛsˈpiˈeɪˈsi, spæk /

noun

Finance, Investing.

1. special-purpose acquisition company: a company set up solely to raise capital in order to invest in or purchase an existing company.

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Example Sentences

Since becoming SEC chair in April, Gensler has set out an ambitious agenda, pursuing new climate change and workforce related disclosures, cracking down on the boom in special purpose acquisition company, or SPAC, deals and increasing scrutiny of U.S.-listings of Chinese companies.

From Reuters

A SPAC, for the uninitiated, is a shell company set up by financial backers known as sponsors.

From New York Times

And because an I.P.O. is only the first stage of a SPAC’s life, there are still hundreds of blank-check firms on the hunt for merger targets.

From New York Times

Redemptions, which have been rising, leave a SPAC’s merger partner with less cash than expected.

From New York Times

The founder of Nikola, another electric-vehicle maker that went public through a SPAC, was recently charged with securities fraud.

From New York Times