Since 2021, eight special purpose acquisition corporations (SPACs) completed initial public offerings on Canadian exchanges.
Those SPACs have approved to be of little value to investors. Even one of the SPACS had managed to complete required qualifying acquisitions (QAs), the outcomes are much to be desired with value destruction.
The winners: the underwriters and the sponsors
The losers: investors.
Agrinam Acquisition Corporation
Domiciled: BC
HQ: Mexico
IPO Date: 2022-06-15
IPO Share Price: US $10
Amount Raised: US $138 million
Pending QA: LOI with Freight Farms (September 6, 2023)
QA Extension: deposited an additional US $400,000 in cash into escrow and extended its permitted timeline to complete QA to December 15, 2023.
Redemption (partial) – 11,261,363 Class A Restricted Voting Shares (out of 13.8 million of Class A shares, and 3.45 million Class B shares)
BGP Acquisition Corp.
Domiciled: BC
HQ: USA
IPO Date: 2021-02-04
IPO Share Price: US $10
Amount Raised: US $115 million
Completed QA: CRAFT 1861 Global Holdings Inc. (NEO)
QA Date: 2023-2-23
QA Redemption: 11,475,876 of 11,500,000 Class A Restricted Shares
Markey Cap: US $3.475M (2023-9-28)
Canaccord Genuity G Ventures Corp.
Domiciled: ON
HQ: ON
IPO Date: 2021-07-23
IPO Share Price: CDN $3
Amount Raised: CDN $15 million
Outcome: to redeem and dissolve
Choice Consolidation Corp.
Domiciled: BC
HQ: USA
IPO Date: 2021-02-19
IPO Share Price: US $10
Amount Raised: US $172.5 million
Outcome: redemption (2022-08-16)
FG Acquisition Corp.
Domiciled: BC
HQ: USA
IPO Date: 2022-04-05
IPO Share Price: US $10
Amount Raised: US $172.5 million
Redemption (partial): 11,398,742 Class A Restricted Voting Shares (out of 11,500,000 Class A Restricted Voting Shares and 2,875,000 Class B Shares)
Pending QA: Think Financial Group Holdings Limited (2023-05-12)
Osisko Green Acquisition Limited
Domiciled: ON
HQ: ON
IPO Date: 2021-09-08
IPO Share Price: CDN $10
Amount Raised: CDN $250 million
Outcome: redemption (2023-09-08)
Silver Spike III Acquisition Corp.
Domiciled: BC
HQ: USA
IPO Date: 2021-05-27
IPO Share Price: US $10
Amount Raised: US $125 million
Outcome: redemption (2023-05-23)
VM Hotel Acquisition Corp.
Domiciled: BC
HQ: ON
IPO Date: 2021-03-01
IPO Share Price: US $10
Amount Raised: US $100 million
Proposed QA: The Pyure Company Inc.
Outcome: to redeem and dissolve