“The financial world has been buzzing with reports all year about these so-called spacs, or special purpose acquisition companies. With this particular form of investment, investors have to rely on the persons behind the IPO to come up with a strong company to merge with – in other words, they give a blank cheque. The purpose of the IPO is to raise money to acquire an unlisted company. That then gets listed, without the costs and hassle traditionally associated with an IPO.
On Monday, LVMH-founder and France’s richest man Bernard Arnault announced that he and three colleagues are bringing the empty investment vehicle Pegasus to the Amsterdam exchange. They are looking to raise several hundred million to put into a fintech company.”
Read the full article on fd.nl (dutch only)