ANALYSIS: Days of Future SPAC—How SPACs Might Be ReWorked

SPACs have come to a crossroads. SPAC IPOs are on pace this quarter to raise about $2 billion on 18 registrations. If that forecast holds, it will represent a staggering decline of 94% (from 299 to 18) in the number of new listings from the record-setting first quarter of 2021, and a dive of 98% (from $98.3 billion to about $2 billion) in the value of SPAC IPOs.

Worse, in response to numerous complaints against special purpose acquisition companies, the SEC has proposed harsh new rules that, if adopted, have the potential to effectively put SPACs out of business.

How ...