Bill Ackman, Pershing Square Capital Management CEO, speaking at the Delivering Alpha conference in NYC on Sept. 28th, 2023.<\/p>\n
Adam Jeffery | CNBC<\/p>\n<\/div>\n<\/div>\n<\/div>\n
Billionaire investor Bill Ackman said\u00a0Friday that U.S. regulators have approved his unique special purpose acquisition company structure, and he’s ready to hunt for a deal.<\/p>\n
Investors in Ackman’s unfruitful SPAC, known as Pershing Square Tontine Holdings, got a tradable right to participate in a future deal, and now it’s closer to becoming a reality. The Securities and Exchange Commission greenlit what the Pershing Square CEO has called a\u00a0SPARC\u00a0\u2014 a special purpose acquisition rights company \u2014 in which he will inform investors of the potential acquisition before they pledge funds.<\/p>\n
“If your large private growth company wants to go public without the risks and expenses of a typical IPO, with Pershing Square as your anchor shareholder, please call me,” Ackman said in a post on X, formerly known as Twitter. “We promise a quick yes or no.”<\/p>\n
Many have said the traditional SPAC structure can be inefficient and costly to shareholders. SPACs are\u00a0shell corporations\u00a0listed on a\u00a0stock exchange\u00a0with the purpose of acquiring a\u00a0private company and taking the company public, typically within two years. In Ackman’s SPARC, investors get to opt in if they like the deal and walk away if they don’t.<\/p>\n