SPACs Still Work When Execution Does

Over the last few years, SPACs moved from “hot” to “out of favor.” More recently, activity has begun to pick back up — and in my view, that’s less about sentiment changing than expectations resetting.

What didn’t work was the idea that structure alone could replace fundamentals. What still works — and seems increasingly evident again — is thoughtful sponsorship, disciplined target selection, and real alignment between operators, capital, and long-term public shareholders.

Having worked on SPAC transactions across complex and highly regulated industries, I’ve seen firsthand that the vehicle itself isn’t the risk — execution is. When sponsors and targets are clear about strategy, realistic about valuation, and willing to do the hard work post-close, SPACs remain a powerful tool for the right companies.

As markets evolve, I believe the next generation of SPACs will be led by teams that have successfully completed prior transactions — sponsors who understand execution risk, regulatory complexity, how to get good deals done, and what it actually takes to build value after the de-SPAC. The go-public process shouldn’t be viewed as an exit, but as the start of the next phase of real work.