Markets are on the verge of “SPAC 2.0,” says Amy Butte, principal at Iron Spark and former CFO of the New York Stock Exchange. “SPACs are starting to disintermediate late-stage venture capital,” she told CNBC.
Despite their risks, which can include a compressed period in which private companies have to prepare for public reporting and regulatory oversight, SPACs are here to stay, Butte predicts, especially for start-ups who traditionally rely on several rounds of venture capital raises prior to filing an S-1. Watch the interview.
