Social Capital Hedosophia Re-Files with a 1/3 Warrant
by Kristi Marvin on 2020-03-18 at 8:00am

Social Capital Hedosophia, which was anticipated to price SPACs II & III on Monday night, but delayed due to market conditions, re-filed new prospectuses this morning with a notable change to both – their warrants included in their units, which were originally 1/4 warrants, are now 1/3 warrants.

Both Social Capital Hedosophia II (IPOB.U) and Social Capital Hedosophia III (IPOC.U), are big, brand-name SPACs, being led by Chamath Palihapitiya.  So going from a 1/4 warrant to a 1/3 warrant is indicative of the larger, current market environment.  If any of the current deals getting ready to IPO should be able to command a 1/4 warrant, it should be the Social Capital teams. But these are not normal times and the Coronavirus has had such a profound impact on the capital markets that changes were inevitable.

It’s been a real race to get the current crop of IPOs out the door before deal terms needed to be adjusted.  However, it looks like the larger market environment has finally caught up to SPACs.  Whether Social Capital’s warrant changes are meaningful enough to sell $900 million worth of SPACs remains to be seen, but terms will continue to tighten across the entire spectrum of SPAC sizes and levels.

No other significant changes were found in the prospectus of either IPOB.U and IPOC.U, and you can find the S-1 filings for SCH2 HERE and SCH3 HERE.

 

 

 

Recent Posts
by Nicholas Alan Clayton on 2024-03-28 at 1:35pm

News and Rumors PR: Bannix (NASDAQ:BNIX) has provided more information on the combination with VisionWave that it announced yesterday, specifying that the imaging technology that VisionWave will acquire from GBT Technologies will primarily seek out applications in military combat scenarios and geological surveys. PR: Grove Collaborative (NYSE:GROV), which combined with Virgin Group II in June...

by Nicholas Alan Clayton on 2024-03-28 at 7:47am

At the SPAC of Dawn Fed Chair Jerome Powell has given new hints that the administration would be showing greater levels of comfort with inflation if a cut could help improve unemployment numbers. Those numbers could get an update today at 8:30 am ET to bring new jobless claims as well as final prices for...

by Nicholas Alan Clayton on 2024-03-27 at 1:31pm

News and Rumors CNBC: Former WeWork (OTC Pink:WEWKQ) founder Adam Neumann has offered to buy back control of the company for $500 million but has yet to secure the necessary financing. WeWork went public with BowX in October 2021. PR: Satellite telecom firm Spire Global (NYSE:SPIR) has signed an agreement to build and launch two...

by Nicholas Alan Clayton on 2024-03-27 at 11:38am

Bannix (NASDAQ:BNIX) has entered into a definitive agreement to combine with VisionWave Technologies for $30 million. The combined company is expected to trade on the Nasdaq once the deal is completed with an initial outside date of September 14. Transaction Overview Bannix has about $17 million in its trust after seeing 77.4% of its shares...

by Nicholas Alan Clayton on 2024-03-27 at 7:33am

At the SPAC of Dawn Much of the attention yesterday was on tracking the swings of the newly-completed Trump Media (NASDAQ:DJT) deal with the FT going as far to suggest it may “make SPACs great again.” Not all of the day’s data points were on the positive side of the ledger, however. IB Acquisition Corp....

logo

Copyright © 2023 SPACInsider, Inc. All Rights Reserved