Global law firm Greenberg Traurig, P.A. set itself apart again in 2021 advising clients on a record $41.7 billion in Special Purpose Acquisition Company (SPAC) transactions, more than twice the volume of SPAC-related transactions the firm handled in the previous year.
Led by Alan I. Annex, co-chair of Greenberg Traurig’s Global Corporate Practice, the firm advised clients on 38 initial public offerings (IPOs) raising more than $8.4 billion and leading to 12 business combinations, which created businesses valued at more than $33.2 billion. There are an additional four business combinations announced in 2020 that have yet to close, with a combined enterprise value of $7.75 billion. Among the IPO transactions, Greenberg Traurig served as advisor to 14 underwriters working on SPAC IPOs including Goldman Sachs, Morgan Stanley, Cowen, and Mizuho Securities
“While the frenetic pace we saw this year may slow slightly in 2022, SPAC offerings and their accompanying business combinations will continue to appeal to institutional and other investors looking for opportunities, as well as companies seeking funds for future growth,” said Annex, who is an architect of the SPAC structure, first seen in the early 1990s, and is internationally recognized for providing legal counsel on SPAC transactions. “Don’t be surprised to see high-quality repeat SPAC sponsors make a second and third trip to the market to raise cash and then invest, a trend we started to see in 2021. We may also see more target companies approach SPACs as a way of raising cash for an acquisition.”
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