Episode 106: SPACs
01/04/21
Overview
A Special Purpose Acquisition Company (SPAC) is created with capital through an initial listing, with the intention that the SPAC later acquires or merges with one or more unspecified private operating companies (‘OpCo’). Where an OpCo is acquired by a publicly traded SPAC, it effectively becomes a public company without executing its own initial public offering (‘IPO’). Gary Berchowitz discusses the accounting challenges relating to them.
In general, these transactions are complex, and consultation with subject matter experts is strongly advised. We have issued an In Brief and will be issuing in more detail the financial reporting and accounting considerations in an In Depth in the near future.
Click here for talking points.
For further information, please contact: Gary Berchowitz and Andrea Pryde
