1st Half 2022 SPAC and De-SPAC Litigation Update

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1st Half 2022 SPAC and De-SPAC Litigation Update

If 2020 was the year of the Special Acquisition Companies (SPACs), and 2021 the year of SPAC litigation, 2022 is off to a slow start in terms of de-SPACs and related litigation. The number of traditional IPO filings and SPAC IPO filings fell to their lowest levels in the past seven quarters. As of March 31st, there was $183.5 billion in SPAC dry powder available to be invested. After Q1 of 2022, there were 604 priced SPAC IPOs actively seeking a target, representing $144.7B in gross proceeds, the highest number and dollar value on record at the end of any quarter.

The numbers speak for themselves as SPAC IPO and de-SPAC M&A activity dropped significantly in 2022.

  • New SPAC IPOs fell from 163 in Q4 of 2021 to 55 in Q1 of 2022.
  • Only 34 de-SPAC M&A deals were announced in Q1 2022, compared to 61 in Q4 2021.
  • Withdrawn SPAC deals outnumbered priced SPAC IPOs 61 to 55 in Q1.
    • This is a drastic increase from the 11 withdrawn SPAC IPOs in 2021.
Jane K. Hahn

Senior Managing Director

Yasmin Turco

Legal Intern

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