VC Analyst Note: What's special about a VC SPAC?
September 14, 2017
Social Capital Hedosophia Holdings Corporation (SCHH) listed its shares on the NYSE, raising $600 million for its special purpose acquisition company. Such vehicles aren't necessarily new, but SCHH is planning to use its capital to buy stakes in VC-backed tech unicorns, either minority investments or full ownership. This unconventional approach could pave a new path to liquidity for companies moving forward.
Our latest VC Analyst Note breaks down special purpose acquisition companies and the risks associated, as well as takes a look inside Social Capital Hedosophia, its managers, strategy and potential benefits for VC in the long run.