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SPACS

743 Views | 3 Replies | Last: 3 yr ago by jh0400
Fightin_Aggie
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AG
Is there anywhere to find financial information on SPACS?

I was looking for IPOE and VACQ

I can find 3 8k for IPOE. Do SPACS not have to file anything?
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aggie0607
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AG
Depends what you are looking for. If you are looking for the SPAC, they file a S-1. If you are looking for when they consummate the transaction with an opco, they file an S-4 or Def14A.
jh0400
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With SPACS pre-deal disclosure outside of sponsor compensation is limited. When there is a deal done it can be accompanied with a concurrent PIPE, and the PIPE investors are given the ability to come over the wall prior to transaction announcement. The real money in a SPAC deal will be made by the sponsor, then the PIPE investor, and possibly the retail investor depending on their entry relative to the deal value.
Fightin_Aggie
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Thank you. I agree that the people who make the real money is the sponsor which makes me very leary of SPACS in general but I have put a small amount into a couple.

I am not sure if anyone can answer this. I like rocketlab as a company. Looking at the spac there are three tickers

VACQ
VACQU
VACQW

VACQU apparently originally was a share and a warrant to buy 1/3 share at a future time. But it looks like the warrant is already trading under VACQW. So If you buy VACQU now are you actually only getting 1 share and the warrant has already been exercised?

https://sec.report/Document/0001213900-21-012372/#ea136708ex10-1_vector.htm
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jh0400
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VACQU is the original offering unit, and holders of shares in multiples of three can convert them into three shares of VACQ and one share of VACQW. If you buy VACQU you're still entitled to one share and one third of a warrant. This is reflected in the pricing of all three securities.

If you end up buying into this make sure you understand what you're really paying on a fully-diluted basis. I did see that there is a provision that allows the sellers to receive more shares should the trading price of the combined company hit $20 and stay there for a specified period of time.
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