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What Happened to Ginkgo Bioworks?

Ticker: DNASPAC Year: 2021Merger: 2021

Return

-97.5%

Current Price

$0.25

Peak Price

$14.96

Trust Size

$1.7B

Summary

Synthetic biology company that programs cells to produce chemicals. One of the largest SPACs ever at $17.5B valuation. Stock crashed 97% as revenue was largely from related-party deals.

What Happened

Ginkgo Bioworks merged with Soaring Eagle Acquisition in September 2021 — one of the largest SPAC deals ever at $17.5B enterprise value. The company builds a "cell programming" platform for biotech, agriculture, and pharma. It attracted top scientists and ARK Invest loaded up. But investigative reporting revealed that a huge portion of Ginkgos revenue came from companies it had equity stakes in — essentially circular transactions. The stock crashed from $15 to $0.25 as the business model unraveled. Did a 1:40 reverse split in 2024.

Key People

Jason KellyCEO & Co-founder— MIT synthetic biology PhD
Tom KnightCo-founder— MIT computing legend who pivoted to biology

Timeline

2021-05

SPAC merger announced at $17.5B

2021-09

Merger completed

2022-06

Related-party revenue concerns emerge

2023-09

Stock below $1

2024-03

1:40 reverse split

Risk Indicators

⚠ïļ Reverse Split⚖ïļ Class Action Lawsuit