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SPACs break 2020 record in just 3 months, but the red-hot industry faces challenges ahead

March 19, 2021


It took the SPAC market just three months to outdo its record-breaking 2020, but sustaining that level of jaw-dropping growth will be no easy task.

The funds raised via U.S. special purpose acquisition companies have totaled $87.9 billion so far in 2021, already exceeding the $83.4 billion issuance in all of last year, according to data from SPAC Research.

SPACs raise capital in an initial public offering and use the cash to merge with a private company and take it public, usually within two years.

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