Special-Purpose Acquisition Company ( SPAC) is one of the services that TRSD capital is providing for its clients. here is an article about SPAC investment instrument which is provided by our education center.
A special purpose acquisition company (SPAC) is a publicly-traded company that raises a blind pool capital through an initial public offering (IPO) for the purpose of acquiring an existing company. The money raised through the IPO of a SPAC is put into a trust where it is held until the SPAC identifies a merger or acquisition opportunity to pursue with the invested funds. Shares of a SPAC are typically sold in relatively inexpensive units that include one share of common stock and a warrant conveying the right to purchase additional shares or partial shares.
Broadly, SPACs are part of the vast mergers and acquisitions market. They can be used by public and private companies as a tool for buying an acquisition target. As an IPO offering in the public market, they require a robust planning cycle that is typically led by an underwriting investment bank.
A SPAC is formed from capital raised in a public IPO. As a publicly-traded stock, a SPAC is held to the same standards of market issuance, detailed primarily in the Securities Act of 1934. However, as a SPAC, the offering has its own unique characteristics.