SPAC redemption rates are rising — a signal that taking startups public via blank-check companies is now seen as no safer a bet than traditional IPOs, Financial Times reports.
The redemption rate was 52.4% in the third quarter, more than twicve the 21.9% in the second quarter, which was more than a doubling of the 10% seen in the first quarter, according to data from Dealogic. The increasing redemptions may suggest raising capital through a SPAC poses a risk relative to that of traditional IPOs. SPAC deals have been seen as more stable. Read more.
