Considering a SPAC Transaction? Keep Securities Litigation Risks at Top-of-Mind | Seyfarth Shaw LLP
Seyfarth Synopsis: Special Purpose Acquisition Company (“SPAC”) transactions have dramatically increased since the start of 2020, bringing with them risk of securities litigation. 2020 has been characterized as the “Year of the SPAC,” and there is no doubt that SPAC transactions are on the rise.[1] One industry tracker reports that in 2020 there were 248 SPAC initial public offerings (“IPOs”) raising over $83 billion (as compared to 59 SPAC IPOs raising approximately $13.6 billion in 2019).[2] This trend is expected to continue in 2021 with 189 SPAC IPO transactions this year at t...
Source: jdsupra.com