Sign up to create alerts for Instruments,
Economic Events and content by followed authors
Free Sign Up Already have an account? Sign In
Quotes
All Instrument Types
- All Instrument Types
- Indices
- Equities
- ETFs
- Funds
- Commodities
- Currencies
- Crypto
- Bonds
- Certificates
Please try another search
Final hours: unlock premium data with Claim 60% OFF
Two SPACs backed by billionaire Ken Moelis withdraw U.S. IPO plans
Published Mar 16, 2022 06:54PM ET
© Reuters. Chief executive officer of Moelis & Co., Ken Moelis (C), smiles after ringing the bell to mark the company's IPO on the floor of the New York Stock Exchange shortly after the opening bell in New York April 16, 2014. REUTERS/Lucas Jackson
(Reuters) - Two special purpose acquisition companies (SPACs) backed by billionaire investment banker Ken Moelis (NYSE:MC) have withdrawn their plans for initial public offerings in the United States, according to regulatory filings on Wednesday.
The SPACs, ACI Corp III and Atlas (NYSE:ATCO) Crest Investment Corp IV, had filed for their IPOs in March last year and were looking to raise up to a combined $1 billion.
Moelis was among a number of high-profile investment bankers and investors, a list that includes Bill Foley and Chamath Palihapitiya, who rushed to take advantage of the lucrative dealmaking frenzy with SPACs.
However, interest in the market has waned, with shares of several companies such as Grab Holdings and BuzzFeed Inc, which merged with SPACs, tumbling after going public.
High rates of redemptions by SPAC investors have also dampened investor appetite, as has volatility in the U.S. markets triggered by rate hike concerns and geopolitical tensions.
A SPAC backed by Moelis, founder and chief executive officer of investment banking firm Moelis & Co , has previously taken electric aircraft startup Archer Aviation Inc public. However, even on that deal, the companies had to amend terms to cut Archer's enterprise value by $1 billion.
SPACs are listed firms with no business operations but a pool of capital raised through an IPO that they use to merge with private companies, in deals that take the private companies public.
Related Articles
Add Chart to Comment
Confirm Block
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
Report this comment
I feel that this comment is:
Comment flagged
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.