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How to Get Ahead of Stock News for SPACs?
How to choose the right SPACs for your investment.
2020 saw the rise of new and young investors. To tap the sudden influx of new investment funds, several companies filed for IPO or went public through a special purpose acquisition company or SPAC also called a reverse merger. In total, they raised a whopping $24 billion as of December 2020 in the US Stock Market¹. Examples of companies merging with SPACs include electric vehicles (EV), cannabis, technology, gaming, and finance.
How to choose the right SPACs
Out of all SPACs in 2020, the most successful was Live Oak Acquisition Corp that provided a return of approximately 171% since its debut. The company ultimately ended up merging with Danimer Scientific, a company specializing in the biodegradable plastic feedstock.
Another example is the Kensington Capital Acquisition. The company has offered a return of up to 162% since its debut. The company ended up merging with QuantumScape. QuantumScape, now traded under ticker QS on the New York Stock Exchange, provides an innovative solution for the solid-state lithium-ion batteries for electric vehicles. After the merger, QuantumScape had 52 weeks high of $132.73 before settling down at a rough $55 in the first week of January 2021.
