special purpose acquisition company

noun

plural special purpose acquisition companies
: a corporate shell (see shell entry 1 sense 11) set up by investors for the sole purpose of raising money through an initial public offering to acquire another business yet to be determined : blank check company
abbreviation SPAC

Examples of special purpose acquisition company in a Sentence

Recent Examples on the Web As Bird was preparing to debut on the stock market through a regulation-minimizing scheme known as a special purpose acquisition company, or SPAC, that would value the business at $2.3 billion, fleet managers were presented with a new contract. Amy Martyn, WIRED, 21 Dec. 2023 Despite its issues, WeWork eventually managed to go public through a merger with a special purpose acquisition company (SPAC) called BowX Acquisition Corp in October of 2021, leaving the firm with a $9 billion valuation. Will Daniel, Fortune, 9 Aug. 2023 The company caused a stir after its debut on the Nasdaq stock exchange via a special purpose acquisition company (SPAC) last August. Lionel Lim, Fortune Asia, 17 Jan. 2024 At least 21 firms that went public by merging with special purpose acquisition companies, or SPACs, went bankrupt this year, according to data compiled by Bloomberg. Jonathan Randles, Fortune, 28 Dec. 2023 Rover went public through a special purpose acquisition company merger in 2021. Jack Pitcher, WSJ, 29 Nov. 2023 Desktop Metal, based in Burlington, Mass., went public in 2020 in a deal with a special purpose acquisition company sponsored by former cable executive Leo Hindery Jr. Kleiner Perkins, NEA and Alphabet Inc. are among its largest shareholders, according to data compiled by Bloomberg. Katie Roof, BostonGlobe.com, 24 May 2023 The deal comes at a time when special purpose acquisition companies are slowing the number of mergers, but the public listing will help the company expand globally. Emma Hinchliffe, Fortune, 21 Apr. 2023 All went public via a special purpose acquisition company, or SPAC. Samantha Masunaga, Los Angeles Times, 8 Nov. 2023 See More

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'special purpose acquisition company.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1994, in the meaning defined above

Time Traveler
The first known use of special purpose acquisition company was in 1994

Dictionary Entries Near special purpose acquisition company

special property

special purpose acquisition company

special relativity

Cite this Entry

“Special purpose acquisition company.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/special%20purpose%20acquisition%20company. Accessed 22 Feb. 2024.

Last Updated: - Updated example sentences
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