On July 24, Bill Haddad and Arif Soto published "When SPACs Restart, the Spreadsheet Can Make or Break the Deal” in Westlaw Today. The following is an excerpt:
The first question is not whether the workbook ties out. It is what the deal is optimized to do.
A SPAC can be designed to preserve $10.00 per public share in trust, to open above that level, to keep more sponsor cash outside the structure, or to build in extension funding from day one.
Those choices may look similar in a term sheet and very different in real economic effect. If management cannot explain what the model is solving for, management may not yet understand the economics it plans to take public.
Click here to access the article.