SPAC Spree
The Virgin Galactic transaction came just a month before Social Capital Hedosophia faced having to return cash raised in 2017 to investors after failing to find an earlier target, illustrating the uncertainties that can come with betting on a SPAC.
Investment heavyweights have since set up their own SPACs, with the $4 billion July IPO of one set up by Bill Ackman being the largest ever by a blank-check company.
Buyout firm Apollo Global Management Inc. also filed Wednesday to raise $750 million through a SPAC, Apollo Strategic Growth Capital.
Palihapitiya is himself said to have filed plans for a new $500 million SPAC that would be his fourth, Bloomberg has reported. The first was the vehicle for the Virgin Galactic deal, while the second is merging with property technology startup Opendoor, according to a statement Tuesday.
This article was provided by Bloomberg News.