This article by Louis Lehot originally appeared on under30ceo.com on June 01, 2021: Are Special Purpose Acquisition Companies Dying Off? A Few Points to Consider
SPACs have had a fantastic run in the last year through the end of Q1 2021, rising from a total IPO count of 59 in 2019 to 248 in 2020 and a whopping 311 in just the first quarter of 2021. The number of SPAC IPOs in the first quarter of this year exceeded the total of all of 2020.
However, the number of new IPOs fell off a cliff in April. SPACInsider lists 85 SPAC IPOs in January, 96 in February, 109 in March, but only 13 in April. The SPAC market had been growing by 13% per month in the first quarter. Somewhat alarmingly, April’s total showed a drop of 88% compared to that in March.
