Official Spac Thread

[ajctennis]

That’s a nice win. I wonder what’s going to happen with spac land, what’s next to pop.

I was hoping I could buy ipob warrants again at 5.5 or below but have all of my capital tied up and they’ve announced a merger date so those warrants are back in the 6s.

[Heaney]

That’s a nice win. I wonder what’s going to happen with spac land, what’s next to pop.

I was hoping I could buy ipob warrants again at 5.5 or below but have all of my capital tied up and they’ve announced a merger date so those warrants are back in the 6s.

I was surprised to see KCAC run up 60% today, they've already stated no product until atleast 2023 and even then its solid state battery tech so there's not even a guarantee of that time frame.

Next to pop thats on my radar might be QELL going off of how warrants are trading, they're already trading at a premium and just split + have already had a 'rumored target' Bloomberg article.

I still have about 35Kusd tied up in SNPR which I'm kind of banking on atleast doubling.

[meteoraniac]

cant help to TP from the APXT hysteria... 14.8 was the selling point.. up 40% from buying the day before thanksgiving...
once ppl realise this is not Snowflake competitor (Every shill out there is doing this), i'm guessing it will retrace more but APXT will definitely do well in the long run, so im fishing in the $12 range to get some order

[Harry362]

cant help to TP from the APXT hysteria... 14.8 was the selling point.. up 40% from buying the day before thanksgiving...
once ppl realise this is not Snowflake competitor (Every shill out there is doing this), i'm guessing it will retrace more but APXT will definitely do well in the long run, so im fishing in the $12 range to get some order

I dunno WsB is starting the pump. If OPES can hit 19 so can this

[ajctennis]

Its kind of funny looking back but you could make the argument that Tesla was instrumental in starting the SPAC craze. The timing of Tesla rocketing significantly boosted NKLA and SHLL which brought a lot of new money into the space. When we first had a dip it was because NKLA started to crap the bed. Then HYLN became the spac leader and when it crapped the bed post merger we had our second dip. Right now we are clearly witnessing spac euphoria with dumb money throwing money at every spac they can. I think one could make an arguement that the reason SBE as well as other EV stocks popped was because of Teslas skyrocket from its inclusion in the S&P. I do think that if Tesla were to drop, so would SBE. However, if SBE were to plummet I think we would see a small drop in spacs but nothing like the 2nd drop when SHLL dropped after merger. It's probably going to take an overall market downturn to stop the euphoria.

Its approaching bubble territory which is kinda why I'm relieved this isn't an EV play, to my knowledge its the first cloud spac. Guess I'll find out tomorrow how she goes.

[Heaney]

GIK is about to announce Lightning emotors any day now. They're like HYLN for mid sized vehicles. Here's the thing though, they also do charging. And on top of that they work on Amazon vans. So EV PLUS charging PLUS Amazon connection. Basically a perfect storm of hottest sectors right now.

Also probably a good idea to aim for unannounced/unrumored EV SPACs considering how hard EVs have run lately. So SOAC, JIH, CCAC, QELL, VGAC in addition to GIK.

^^ tug, you literally can't go wrong listening to this guy.

Personally I think on Monday I'll buy back into SOAC even though they're frustratingly slow in announcing anything. QELL I want bad but they're trading at a pretty big premium right now and I'm hoping they come down in price.

[meteoraniac]

I dunno WsB is starting the pump. If OPES can hit 19 so can this

wsb is riding PLTR hard, the APXT shills are from SPAC reddit..

[Heaney]

This is funny AF.

Why DD when its all about appearance?

Just create 100 fake reddit accounts and shill.

solid DD = 15-30% sustained YoY gains.

Shilling wsb: 200% full blown retard strength gains in under 60 seconds.

I'm short on almost every SPAC so the retard strength pumpers actually help me out alot haha. I remember making like 100% gains on GPAQW in the summer because everyone was pumping it as "investing in the NFL". Now theyre a penny stock lol.

[Heaney]

I dunno WsB is starting the pump. If OPES can hit 19 so can this

The only issue with this reasoning is that in the summer when opes was popular there were like 4 spacs active and now there are like 100.

[ajctennis]

Fst is trending on stocktwits. Double the amount of followers over the weekend. I wonder if we see warrants at 1.3+ tomorrow.

[Harry362]

APXT has gone from 8200 watchers on stocktwits to 10,200

wsb is riding PLTR hard, the APXT shills are from SPAC reddit..

Seen a bunch of APXT on WSB as well trying to make it next PLTR but now APXT posts are banned

[Hoop_Dreams]

Up big on SBE. Learning my lesson from SHLL and trimming to lock in some profits.

[Heaney]

I'm eating shiet hard on GIK today. Thought I bought the dip but she double dipped.

[Carbonfibre]

first post here lol

little bit pissed I did not go on few leaps GMHI.

when I posted about it it was $12

now touching $18.

[Heaney]

first post here lol

little bit pissed I did not go on few leaps GMHI.

when I posted about it it was $12

now touching $18.

My bad there. Truly makes no sense for them to be trading at an implied market cap of almost 8B but I guess clown world.

[Harry362]

Thoughts on GIX? Looks close to the floor price so little to no risk. Just bought 2000 shares at 10.25

copied and pasted from reddit/spac








GigCapital2, Inc. (GIX) is the most bullish I have been on a SPAC since getting in on CIIG at $11 and APXT at $10.20.

What is their deal? They are forming a dual merger with UpHealth and Cloudbreak to form a leading online medical services business at a combined valuation of $1.35 billion.

Article: https://finance.yahoo.com/news/gigca...140000389.html
Cloudbreak site: https://www.cloudbreak.us/solutions/
Uphealth site: https://uphealthinc.com/

Key thoughts:

Revenue Growth: revenue is anticipated to grow by 65% between FY20 and FY21 from $115m to $190m with EBITDA doubling. 69% of this revenue growth is already contracted (locked in) so this isn't speculative. This would mean the company is valued at circa 6.5x 2021 revenues;

Comparable companies: the best known comparable is Teladoc Health (TDOC) an Ark investment. TDOC currently has a market cap of $28.4bn which represents a 33x multiple of current TTM revenue of $867m. Noting that TDOC is loss making (and growing at a slower rate) whereas the post merger GIX company will be profitable shows this is a reasonable multiple to apply to GIX. Giving a 2021 share price target of $50 and hence representing 500% upside in the bull case. I'll leave it up to you to decide what the bear case is but in my view it is not $10;

Scalability: being on an online digital service the business is obviously scalable and hence able to operate and provide services globally, this presents massive upside potential;

Economies of scale and supercharged growth: another factor to note is that with the two companies combined they will be able to achieve economies of scale and the funding received from the GIX merger will enable them to further invest and supercharge growth.

TLDR: I think that the valuation of merger deal of GigCapital2, Inc. is extremely conservative due to both the EV/Revenue multiple applied and the conservative estimate of forecasted FY21 revenue growth (the majority of which is already locked in). Furthermore, the combined company will be disrupting a highly profitable growth industry, this presents room for extreme upside.

[Heaney]

Mistimed my buy ins so bad today fuk. Down on both GIK and SOAC that I bought around 10am today.

[Heaney]

Thoughts on GIX? Looks close to the floor price so little to no risk. Just bought 2000 shares at 10.25

copied and pasted from reddit/spac








GigCapital2, Inc. (GIX) is the most bullish I have been on a SPAC since getting in on CIIG at $11 and APXT at $10.20.

What is their deal? They are forming a dual merger with UpHealth and Cloudbreak to form a leading online medical services business at a combined valuation of $1.35 billion.

Article: https://finance.yahoo.com/news/gigca...140000389.html
Cloudbreak site: https://www.cloudbreak.us/solutions/
Uphealth site: https://uphealthinc.com/

Key thoughts:

Revenue Growth: revenue is anticipated to grow by 65% between FY20 and FY21 from $115m to $190m with EBITDA doubling. 69% of this revenue growth is already contracted (locked in) so this isn't speculative. This would mean the company is valued at circa 6.5x 2021 revenues;

Comparable companies: the best known comparable is Teladoc Health (TDOC) an Ark investment. TDOC currently has a market cap of $28.4bn which represents a 33x multiple of current TTM revenue of $867m. Noting that TDOC is loss making (and growing at a slower rate) whereas the post merger GIX company will be profitable shows this is a reasonable multiple to apply to GIX. Giving a 2021 share price target of $50 and hence representing 500% upside in the bull case. I'll leave it up to you to decide what the bear case is but in my view it is not $10;

Scalability: being on an online digital service the business is obviously scalable and hence able to operate and provide services globally, this presents massive upside potential;

Economies of scale and supercharged growth: another factor to note is that with the two companies combined they will be able to achieve economies of scale and the funding received from the GIX merger will enable them to further invest and supercharge growth.

TLDR: I think that the valuation of merger deal of GigCapital2, Inc. is extremely conservative due to both the EV/Revenue multiple applied and the conservative estimate of forecasted FY21 revenue growth (the majority of which is already locked in). Furthermore, the combined company will be disrupting a highly profitable growth industry, this presents room for extreme upside.

I dont have an opinion on this one other than that every other Healthcare spac aside from LGVW that I can think of has flopped, IPOC and CCXX being the 2 most high profile.

[Heaney]

GIK absolutely trashing my portfolio right now fuk me.

[Hoop_Dreams]

SPACs got wrecked today. Sold SBE and GMHI at the right time and put the profits into IPOD, IPOE, and IPOF.

[Heaney]

Apparently I'm balls deep in GIK now, got carried away averaging down today and put way too much capital in. Here's to hoping.

[Harry362]

Still balls deep in APXT 2000 shares at $13.70....fuark was up $6600 at one point and now im negative but Avepoint seems pretty legit I'm just gonna hold

[ajctennis]

LCA finally has a merger data. Let's ride.

[mike.hunt]

can't figure out if this is the best opportunity ever or too good to be true


Gores Holding with GMHI which just announced merger approval with Luminar and skyrocketed to $21 tonight also has another SPAC that is merging with United Wholesale Mortgage under ticker GHIV, supposedly this month or early Jan from what I'm reading. UWM made over $1bil PROFIT last QUARTER and the price of GHIV is only $10 right now. Last news released was from November when UWM announced a 40c/annual dividend. They are one of Rocket Mortgages biggest competitors but unlike RKT they have already announced dividend and will have a lot less shares outstanding.

Don't know if this be a huge flop like the failure that is RKT, but at $10.05/share I feel the risk/reward is huge here. Not exactly sure how it works but isn't $10 the "floor" or threshold for these SPACs?

Somebody that is better doing DD please tell me why I shouldn't go all in on GHIV.

[Heaney]

can't figure out if this is the best opportunity ever or too good to be true


Gores Holding with GMHI which just announced merger approval with Luminar and skyrocketed to $21 tonight also has another SPAC that is merging with United Wholesale Mortgage under ticker GHIV, supposedly this month or early Jan from what I'm reading. UWM made over $1bil PROFIT last QUARTER and the price of GHIV is only $10 right now. Last news released was from November when UWM announced a 40c/annual dividend. They are one of Rocket Mortgages biggest competitors but unlike RKT they have already announced dividend and will have a lot less shares outstanding.

Don't know if this be a huge flop like the failure that is RKT, but at $10.05/share I feel the risk/reward is huge here. Not exactly sure how it works but isn't $10 the "floor" or threshold for these SPACs?

Somebody that is better doing DD please tell me why I shouldn't go all in on GHIV.

FYI the 10 dollar floor disappears after the vote to merge is approved so that GHIV floor isn't forever.

New trend on spacs seems to be moon on merger though whereas outside of NKLA it used to be a huge sell off would happen so who knows. I know we're in clown world but there's no reason why Luminar and QuantamScape should have mooned, neither are anywhere near being profitable yet and trading at enormous valuations (GHMI is like 50x 2023 projected revenue right now) and QS may never even have a product.

[mike.hunt]

FYI the 10 dollar floor disappears after the vote to merge is approved so that GHIV floor isn't forever.

New trend on spacs seems to be moon on merger though whereas outside of NKLA it used to be a huge sell off would happen so who knows. I know we're in clown world but there's no reason why Luminar and QuantamScape should have mooned, neither are anywhere near being profitable yet and trading at enormous valuations (GHMI is like 50x 2023 projected revenue right now) and QS may never even have a product.

okay good to know

yes it seems like most of the SPACs are just huge money grabs/scams. The only other one I've considered investing is APXT since they are heavily involved with Microsoft.

I don't think many people have heard about UWM the only reason I know about them is because I actually just refinanced using them a few months ago after Quicken dragged me along for 3 months and couldn't get it done because I'm self employed. UWM got me a better rate and I closed in less than 3 weeks of starting the process which was crazy.

I just can't see how getting in on the ground floor with a company that makes a billion dollars profit per quarter is going to turn out badly....however I thought the same exact thing with RKT and that didn't turn out so well

[Heaney]

okay good to know

yes it seems like most of the SPACs are just huge money grabs/scams. The only other one I've considered investing is APXT since they are heavily involved with Microsoft.

I don't think many people have heard about UWM the only reason I know about them is because I actually just refinanced using them a few months ago after Quicken dragged me along for 3 months and couldn't get it done because I'm self employed. UWM got me a better rate and I closed in less than 3 weeks of starting the process which was crazy.

I just can't see how getting in on the ground floor with a company that makes a billion dollars profit per quarter is going to turn out badly....however I thought the same exact thing with RKT and that didn't turn out so well

SPACs in non meme industries don't seem to really pick up much steam, Healthcare industry has been pretty much a bust so far in SPACland but getting in at 10.05 is essentially risk free, I think they actually accumulate interest on that 10 dollar floor so it actually works out to neat 10.20 normally for redemption.

[mike.hunt]

SPACs in non meme industries don't seem to really pick up much steam, Healthcare industry has been pretty much a bust so far in SPACland but getting in at 10.05 is essentially risk free, I think they actually accumulate interest on that 10 dollar floor so it actually works out to neat 10.20 normally for redemption.

so what you're saying is I should go all in? free money?

[Heaney]

so what you're saying is I should go all in? free money?

In theory it would be "free money" but waiting for potentially a couple months for less than 2% doesn't seem like the best bang for your buck.

[mike.hunt]

In theory it would be "free money" but waiting for potentially a couple months for less than 2% doesn't seem like the best bang for your buck.

believe the merger deadline is EOM or end of this quarter hard to find any thing substantial backing that up though. definitely wouldn't want money tied up for longer than a month