2018

SPAC Market Year in Review

SPAC IPOs

46

Capital Raised

$10.7B

Avg Return

-12.0%

Bankruptcies

0

Market Context

2018 saw continued steady growth in the SPAC market with 46 IPOs. The emergence of serial sponsors like Michael Klein (Churchill Capital) and Alec Gores signaled a structural shift — SPACs were becoming a repeatable business model rather than one-off vehicles. Institutional investors began allocating to SPACs, drawn by the arbitrage opportunity of buying at NAV with downside protection. The broader market correction in Q4 2018 had little impact on SPAC issuance.

Key Events

46 SPAC IPOs raise $10.7B — modest growth
Serial sponsors emerge as a category
Churchill Capital and Gores establish SPAC franchises
First signs of institutional money flowing into SPACs
SEC begins paying more attention to SPAC disclosures

Notable IPOs

Churchill Capital Corp I
Gores Holdings II
Replay Acquisition

Notable Failures

Early SPAC liquidations increasing
Several 2016-2017 vintage SPACs fail to find targets