SPAC

abbreviation or noun

ˈspak 

plural SPACs

: special purpose acquisition company

Wall Street's biggest gold rush of recent years, SPACs are listed shell companies that raise funds to acquire a private company and take it public, allowing targets to sidestep the more onerous paperwork and regulatory checks faced by traditional initial public offerings.

—Katanga Johnson

Although special purpose acquisition companies (SPACs) could potentially fill some of this capital-providing role, they tend to focus more on larger businesses.

—Will Rhind

Examples of SPAC in a Sentence

Recent Examples on the Web

The company, which went public via a special purpose acquisition company, or SPAC, last year, now trades with a market capitalization of around $4.9 billion. —Mackenzie Sigalos, CNBC, 23 June 2025

Similarly, companies like Nakamoto raised $710 million for their Special Purpose Acquisition Company (SPAC) because the company wants to launch more pubcos globally. —Lawrence Wintermeyer, Forbes.com, 19 June 2025

Valued at almost $2 billion in its 2021 SPAC merger that put it on the Nasdaq Stock market, Vivid is now worth less than $250 million. —Brendan Coffey, Sportico.com, 12 June 2025

That was all the rage back then, and so many of those SPAC deals were busts. —Jim Cramer, CNBC, 9 June 2025

Word History

First Known Use

1993, in the meaning defined above