Wall Street and Hollywood seem closer than ever before. Over the weekend, Grimes sold $6 million worth of non-fungible token art. Yesterday, Dave Portnoy launched a social media exchange-traded fund to great fanfare. It seems that pretty much every day in between, a celebrity has made headlines with special purpose acquisition companies. With that in mind, here is a roundup of the top celebrity SPAC merger news.
- Colin Kaepernick saw his Mission Advancement (NYSE:MACCU) launch this week. MACCU hopes to focus on consumer companies that address racial justice and diversity.
- Tony Hawk now sits on the advisory board of Iron Spark I, which is not yet public. The SPAC plans to focus on branded consumer companies in health, wellness, athletics or fitness.
- Jay-Z is backing Subversive Capital Acquisition (OTCMKTS:SBVRF). Subversive acquired two cannabis businesses, including his Caliva.
- Paul Ryan signed on with Executive Network Partnering (NYSE:ENPC).
- Billy Beane leads RedBall Acquisition (NYSE:RBAC). His SPAC failed to acquire the Boston Red Sox earlier in 2021.
- Steph Curry sits on the leadership team for Dune (NASDAQ:DUNE), which is focusing a tech or software-as-a-service business.
- Ciara Wilson is involved with Bright Lights (NASDAQ:BLTS), which is targeting media, entertainment and sports.
- Serena Williams is on the team for Jaws Spitfire (NYSE:SPFR). This celebrity SPAC is looking to bring a consumer tech company public.
- Alex Rodriguez just saw his entertainment-focused Slam (NASDAQ:SLAMU) start trading.
- Shaquille O’Neal sits on the board for Forest Road (NYSE:FRX). This SPAC recently acquired Beachbody and MYX Fitness.
Celebrity SPAC Merger News: Why It Matters
So where does all of this celebrity SPAC merger news come from? And more importantly, why should investors care?
Well, there is simply no denying that special purpose acquisition companies have taken over Wall Street. The alternate path to coming public has big appeal, especially for early stage companies. And investors want to get in on big ideas and innovative businesses as early as possible. Need an example? Consider the hype surrounding Churchill Capital IV (NYSE:CCIV) and the Lucid Motors SPAC merger. Although the company has yet to deliver a vehicle, investors see its EV potential. That is why they have bid up CCIV stock in a frenzy.
There is also real data behind the interest. Through Feb. 26, 175 SPAC sponsors have come public, raising a total of $56 billion. Right now, as much as $103 billion in SPAC capital is looking for an acquisition target. Most importantly, these SPACs could generate $700 billion in acquisition activity over the next two years.
For celebrities, this is another way to show their status and influence. While celebrities continue to flex their money, SPAC merger news will keep pumping. Keep a close eye on this trend.
On the date of publication, Sarah Smith did not have (either directly or indirectly) any positions in the securities mentioned in this article.
Sarah Smith is a Web Content Producer with InvestorPlace.com.