3 SPACs Investors Should Keep on Their Radar
A special purpose acquisition company (SPAC) is a publicly traded shell company with no business operations, created for the purpose of taking a private company public through an acquisition. SPACs have risen in popularity in 2020 as companies have sought liquidity and investors have been eager to buy into newly public companies.
SPACs will trade for up to two years before identifying a company to take public. Investors who buy into the SPAC before a deal is announced can get in ahead of the "IPO pop." The three SPACs highlighted below are promising candidates for investors looking to get in early.
Trine Acquisition (NYSE: TRNE) is an SPAC that went public in March 2019, raising $261 million. The SPAC intends to acquire a company in the media or communications industry and is led by Leo Hindery, a legendary cable executive whose resume includes orchestrating a mega $48 billion merger with AT&T and running the YES regional sports network (YES is now owned by Sinclair Broadcasting).
Source Fool.com
