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SoftBank looks to raise about $550 mln through two more SPACs

· 02/05/2021 17:33
SoftBank looks to raise about $550 mln through two more SPACs

- Two blank-check firms backed by SoftBank Group Corp 9984.T are aiming to raise a total of about $550 million in their initial public offerings, regulatory filings showed on Friday.

Special purpose acquisition company (SPAC) SVF Investment Corp 2 said it would sell 20 million units, comprising shares and warrants, priced at $10 apiece in its IPO. SVF Investment Corp 3 said it would sell 35 million shares at the same price. https://bit.ly/3jo0COd https://bit.ly/3cFty30

SoftBank has tried to ride the mania for SPACs, with a blank-check backed by the Japanese conglomerate's Vision Fund's managers - SVF Investment Corp SVFA.O - raising $604 million earlier this year. nPreF9X4qa nL4N2K4500 nL4N2K83KA

Another SPAC headed by the company's Chief Operating Officer Marcelo Claure is aiming to raise $200 million. nL4N2K4500

Even office-sharing startup WeWork is in talks to go public through a merger with a blank-check firm, a source said last month. nL4N2K34LD

A SPAC, a shell company that raises money in an IPO before later merging with a privately held company to take the latter public, has become many investors' structure of choice over the past year.

SPACs raised $24.26 billion in January, 20 times more than the same period in 2020, Refinitiv data showed. Last month's haul was already 30% of the total $79 billion raised by SPACs in the whole of 2020. nL4N2K73KU

The two SPACs launched on Friday are backed by SoftBank Investment Advisers, which oversees the company's Vision Fund, and will list on the Nasdaq.

Citigroup, UBS Investment Bank, Deutsche Bank Securities, Cantor and Mizuho Securities are underwriters for both the offerings.

(Reporting by Noor Zainab Hussain in Bengaluru; Editing by Aditya Soni)

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