Sports on show with Spax
The SPAC financial instrument has been around since 2017 and was already popular in the United States. Now the Amsterdam Stock Exchange is also emerging as an interesting exchange and thus there is also some noise in the capital about SPACs. “It’s a bull market, so everyone thinks it’s great,” asks Marcel Berthuisen of the consulting firm Bigplans sponsor. “But what happens if prices fall again.”
So it’s a trend in funding: SPACs. A special purpose buyout company, or SPAC, is a kind of blank shell, and it’s a financial tool in which investors place money. This will give them a list of the stock exchange. Then they look for a company that has not yet been listed on the stock exchange, and then merge with it. For example, an unlisted company is not required to pay its IPO costs. SPAC investors would then acquire a minority stake in the company.
An interesting tool to raise money and of course also in the sports world due to the great investor interest. It is very interesting for the sport to receive funding. “In the United States you see all kinds of combinations made with sports and technology. Sports in sports betting, fitness and games, and big bucks. This often happens with famous athletes who are also attracting money as a kind of influencer. Because of Covid, everyone in sports is looking for money. It could also be a new way to bring money into the Netherlands.
About sports and money
All about the economy and in the world of sports. Written by Marcel Berthuisen, of the Senior Planning Office. Listen live Wednesday afternoon at 13:22 in Zakindwin, or whenever you want across bnr.nl/podcast/sport-en-geld, Apple Podcast From Spotify.
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