Burst of Broken SPAC Deals Another Blow to Battered Sector (1)

A flurry of terminated deals is hitting the blank-check industry in another signal that the sector is crumbling.

At least four planned mergers between special-purpose acquisition companies and target firms looking to go public have been canceled since the market close on Friday, bringing the year’s tally to 42. The wave of breakups deals a blow to the industry that many believe has gone bust, leaving some investors sitting on paper losses.

The burst of terminated deals had a combined enterprise value of roughly $4.3 billion and included Bitcoin mining firm Prime Blockchain Inc., space logistics firm D-Orbit ...