Why These 3 Hedge Fund Managers Are Raising Money with SPACs
A special purpose acquisition company (SPAC) is a publicly traded shell company that has the purpose of taking a private company public. SPACs raise money through an initial public offering (IPO) and use the cash to acquire a company -- effectively taking the acquired company public in the process. The buzz around SPACs has led to a record-breaking number of them going public in 2020.
As SPACs are increasing in popularity, veteran hedge fund managers are getting in on the action.
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Source Fool.com
