Despite the economic and social disruption by COVID-19, the Special Purpose Acquisition Companies or SPAC issuances have surged in last two years. The popularity of SPAC is evident with growing average size of SPACs to 46% to $336mn in 2020 ($231mn in 2019). Most of the larger SPACs are being run by established private equity investors such as TPG, Apollo, Fortress, Oaktree, among others. Pershing Square Tontine Holdings, Ltd., a SPAC by hedge fund manager Bill Ackman raised $4bn in its IPO in June 2020 which is the largest SPAC IPO till date. In 2020, 248 new SPACs went public in the US, recording an increase of about 320% from 2019; also, SPACs in the US have raised about $83bn which is greater than the capital raised during the past 10 years combined.

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