2020 was the year of the special purpose acquisition company (SPAC) initial public offerings (IPOs). The somewhat controversial method of going public represented more than half of all IPOs in 2020. The growth in popularity of SPACs has been evident for several years, with new highs in each of the past three years. However, the growth in 2020 is truly unprecedented; with 238 SPAC IPOs, 2020 had more than four times the previous high of 59 in 2019.
In this article, Audit Analytics further examines the 2020 rise in SPAC IPOs.