At Saxo we facilitate trading in SPAC companies common stock shares.
A SPAC (Special Purpose Acquisition Company), also called “blank check” company, is essentially an investment corporation, designed to be a publicly traded buy-out company. This means investor funds are raised through an IPO process, where the purpose of the SPAC is to complete an acquisition of another company in the future.
Contrary to a normal IPO process, a SPAC company will raise funds by issuing Units, part common stock and part Warrants. The Unit listing will list on the exchange first, and subsequently the common stock and warrants will each list in separate tickers. The SPAC company will usually have a pre-determined deadline as to when it would need to have made its acquisition.