Today, the Staff of the Securities and Exchange Commission issued two statements relating to special purpose acquisition companies (SPACs). Neither statement provided any guidance or interpretation. Both seemed directed at emphasizing existing regulations.
The first statement from the Staff of the Division of Corporation Finance (see: https://www.sec.gov/news/public-statement/division-cf-spac-2021-03-31) noted a series of considerations that private
On December 22, 2020, the Securities and Exchange Commission (the “SEC”) approved the proposal submitted by the New York Stock Exchange (“NYSE”) that allows companies to conduct concurrent primary offerings as part of a direct listing on the exchange. The NYSE’s proposal had been put on hold since August, following the SEC’s receipt of a
In the International Financial Law Review’s latest publication, A Deep Dive Into Capital Raising Alternatives, Mayer Brown provides context on the changes in market structure and market dynamics that led to the enactment of the JOBS Act. Specifically, the trend for many private companies to remain private longer, defer or dispense with traditional
This chart is intended to compare and contrast in summary form some of the considerations for a private company considering merging into an existing public operating company in a reverse merger or entering into a business combination with a special purpose acquisition company (“SPAC”). In particular, reverse mergers into operating companies with failed clinical programs
The National Center of the Middle Market (NCMM) conducted a survey from March 12-23, 2020 of 400 strategic decision makers from life sciences companies in the United States and Canada. The report noted middle market life sciences companies, which include companies with annual revenues between $10 million and $1 billion, have experienced robust growth. Between
The National Center for the Middle Market recently published the results of a survey of 1,000 financial decision-makers in June 2020 relating to results from the fourth quarter of 2019 and a March 2020 survey of 260 middle market companies, which include companies with annual revenues between $10 million and $1 billion.
The survey found
In a recent paper titled, “The Disappearing IPO Puzzle: New Insights from Proprietary U.S. Census Data on Private Firms,” authors Thomas Chemmanur, Jie He, Xiao Ren, and Tao Shu, explore the reasons or the decline in the number of U.S. IPOs since 2000. In particular, the authors use data in order to test
PwC and CB Insights’ latest MoneyTree Report reports a 3% increase in U.S. venture capital deals this past quarter. There were 1,374 deals in the second quarter of 2020 compared to 1,336 deals in the first quarter 2020. This increase comes after a three-quarter decline in venture deals. While the number of deals is down
Tech companies at all growth stages are facing capital raising and operating challenges brought about by the global COVID-19 pandemic. A recent CB Insights client briefing explored these novel business pressures.
To add some perspective, an analysis of earnings calls provided by CB Insights showed that the mentions of “layoffs,” “furloughs” and “hiring freezes” in
CB Insights recently published a report, State of Fintech: Investment & Sector Trends to Watch, which provides a number of insights regarding 2019 industry trends.
Global fintech funding in 2019 fell short of the record highs in 2018, with 1,913 deals raising $34.5 million in proceeds in 2019. Quarterly fintech volumes throughout 2019 were