SPAC deals are going cold. According to SPAC Research after a record, deals in March were 109, and this month it’s just 10. Proptech is no exception, with 15 new SPACs in February followed by 16 in March. One in April. Acceptance to blank-check firms exploded last year. this year, 308 blank checks went public. More than $100 billion raised. 59 went public in 2019 and raised $13.6 billion.
Regulators have warned the investors to not write checks just because a celebrity is involved in SPAC. For instance, there are signs the SEC can crackdown on the expanding market. Opendoor’s stock is down 40.2 percent while Porch Group’s stock is down to 16.7 percent. Views went down to 16.1 percent.
According to CNBC, the market value of Spac has fallen 20 percent in the last two years. Bank of America analyst “Early data from April suggest that retail may be returning back to their ‘traditional’ roots, favoring more established companies over low-priced, speculative securities,”