Mr. Ishrak previously ran medical device giant Medtronic and could file with the U.S. Securities and Exchange Commission as Tuesday. Ishrak is looking to raise about $750 million to $1 billion for the special purpose acquisition company. Goldman Sachs Group Inc. is leading preparations for the SPAC initial public offering. Hedge fund manager Joshua Fink, who is the son of BlackRock Inc.’s Larry Fink, and Medtronic executive Jean Nehme will have senior roles at the company. It is expected that Ishrak will be chosen as chairman.
SPACs raised record levels in 2020 (about $79 billion on U.S. exchanges). In 2021 53 blank-check companies raised $15 billion just in January. Forty-seven more SPACs this month have announced plans to raise a combined $11.7 billion and are awaiting IPOs.
This fad is hear to stay as Wall Street is forced to move closer and closer to the democratization of Wall Street.