2021

SPAC Market Year in Review

SPAC IPOs

613

Capital Raised

$162.5B

Avg Return

-45.0%

Bankruptcies

3

Market Context

2021 was peak SPAC mania — 613 IPOs raising $162.5 billion, surpassing traditional IPOs for the first time. The absurdity peaked with deals like Lucid Motors ($90B implied valuation for a company delivering zero cars) and WeWork's SPAC resurrection. But cracks were widening: the SEC proposed new rules, redemption rates spiked as investors realized most SPAC targets were overvalued, and high-profile frauds like Lordstown and Electric Last Mile emerged. By Q4, the SPAC market was already cooling, but hundreds of blank-check companies were still desperately searching for targets, setting up the carnage of 2022-2023.

💡 Did You Know?

In 2021, more SPACs went public than traditional IPOs for the first time in history. 613 blank-check companies raised $162.5 billion.

Key Events

613 SPAC IPOs raise $162.5B — the absolute peak
More SPACs than traditional IPOs for the first time ever
Lucid Motors SPAC hits $90B implied valuation
Grab Holdings completes largest SPAC merger ever at $40B
WeWork finally goes public via SPAC after failed 2019 IPO
SEC proposes new SPAC disclosure rules
Lordstown Motors admits pre-orders were largely fake
SPAC redemption rates begin rising sharply in H2
Celebrity SPACs proliferate: Shaq, A-Rod, Ciara, Jay-Z connections

Notable IPOs

Lucid Motors
Grab Holdings
Polestar
IronNet
Paysafe
Matterport
Planet Labs
WeWork
BuzzFeed

Notable Failures

Lordstown Motors admits orders were fake
Clover Health DOJ investigation
Electric Last Mile Solutions fraud