Traders on the floor of the New York Stock Exchange.
Source: NYSE
Enthusiastic SPAC investors drove shares of many pre-merger deals up dramatically before there's even a rumor about a target company, and they could end badly if their chosen takeover flops.
A handful of recent blank-check companies are trading more than 40% above their initial public offering price, according Goldman Sachs data. Such high expectations could be hard to meet these days given the sheer number of SPACs rushing to get their deals done. There are a total of 326 SPACs seeking acquisitions with $103 billion of capital, according to Goldman.
Take a look at the SPACs trading at the largest premiums to their IPO price.
