SPACs to Resurge: Seattle business people Ted and Chris Ackerley expect SPACs to return. The Ackerley brothers joined ESH Acquisition Corp., a SPAC that buys entertainment, sports, and hospitality enterprises. The company had a successful $115 million IPO.
SPACs, or “blank check companies,” returned during the epidemic. They helped enterprises enter public markets by attracting finance. These groups buy and publicize private firms.
In 2022, SPACs, after mergers, performed poorly. As the market stagnated, several deals were canceled. A Tiger Woods-led SPAC gave up on raising $150 million earlier this year.
SPAC Insider reports 21 SPAC agreements this year, down from 613 in 2021. S&P Global said that four blank-check companies went public in the second quarter, the lowest number in four years.
Ted Ackerley is optimistic about SPACs, especially for companies that need money, while investors are apprehensive about rising interest rates. He emphasizes using the money wisely.
The Ackerley brothers liked the SPAC because it was a good business tool and was run by experienced people. This crew includes fundraising car veterans.
Their SPAC seeks consumer-facing digital asset startups in the online betting, game, and fandom industries.
The Ackerley brothers are sports and entertainment experts since they co-own the Seattle Kraken, an NHL team that debuted two years ago. They also fundraise for a European sports team.
Chris Ackerley argues the best approach to blend tech and innovation with sports and fun is to prioritize the customer experience and keep the feedback loop open.
Sports run in the Ackerley family. The Ackerley Group, founded by Barry Ackerley, controlled the NBA’s Seattle Supersonics and the WNBA’s Seattle Storm.
Ted and Chris recognize that investors must make wise, well-thought-out judgments and adjust swiftly to the market since technology changes quickly.
The Seattle-based brothers continue to invest. They desire public-private collaboration to foster entrepreneurship.
Ted felt hopeful about the city’s progress and prosperity despite its issues.