Alice Hsu Quoted by Am Law on Popularity of SPACs
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In its article “Surge in 'Blank Check' Companies Keeps SPAC Specialists Busy,” The American Lawyer quoted Akin Gump partner Alice Hsu on special purpose acquisition companies’ (SPACs) rise in popularity.
The article notes that interest in SPACs waned during the Great Recession, but began to pick back up again in recent years. The article states that moves by the SEC to make it easier to take small companies public, recent changes in stock market regulations, and companies’ disillusionment with the traditional IPO process have all contributed to a SPAC resurgence. The article notes, for example, that the number of SPAC deals is on pace for a record-breaking year in 2020.
Speaking of this rise in demand, Hsu, who has been advising clients on SPACs for over a dozen years, said, “I’m getting inquiries [about SPACs] from clients and friends of clients multiple times a week.”