Learn SPACs
Plain-English explanations of how SPACs actually work, written from the primary sources: every worked example cites the ticker and the SEC filing it came from, and connects to the live data on this site. Start anywhere — the articles cross-reference each other.
Foundations
- What a SPAC trust account actually is
The segregated account that backs every SPAC share with cash — what goes in, what it earns, and the three ways money ever comes out.
4 min read - Units, warrants and rights, explained
The anatomy of a $10.00 SPAC unit — what the share, the warrant fraction and the right fraction each do, and what they're worth in every scenario.
3 min read
Redemption & deadlines
- How SPAC redemption works, step by step
The exact sequence for exchanging SPAC shares for trust cash — triggers, deadlines, broker delivery, payout math and what can go wrong.
4 min read - Broker cutoffs vs official deadlines: the gap that costs real money
The redemption date in the proxy is not your date. Your broker's internal cutoff comes first, and a missed window doesn't roll over.
4 min read - Extension votes and deposits
How SPAC deadlines actually move: the vote, the sponsor's deposit, the fresh redemption window, and what 19%-to-95% redemption outcomes reveal.
3 min read - The floor disappears: post-redemption risk
What happens after the final redemption window: the real story of a 40.9% 'discount' nobody could claim, and how to never be the one holding it.
3 min read
Valuation & the floor
- How to compute SPAC NAV yourself
Two numbers from the 10-Q and one division — plus the accrual, overfunding and tax details that make your estimate match the actual payout.
4 min read - Why below trust matters
Buying under trust value locks in a computable return to redemption — the yield math, why discounts exist at all, and when a discount lies.
4 min read
Deals & dilution
- LOI vs definitive agreement vs closing
The three stages of a SPAC deal — what's binding at each one, where deals die, and how to read the filings that mark each step.
4 min read - The sponsor promote, explained
Founder shares: the ~20% block the sponsor gets for $25,000, what it really risks, and how the promote bends incentives toward closing any deal.
4 min read - Dilution: the headline valuation vs the one you actually pay
Why the announced deal value understates what buyers really pay — with a verified deal announced at $1.2B whose full share count implies $1.79B.
4 min read
Reference
Educational content, not investment advice. Figures cited in articles are drawn from SEC filings (each carries its accession number) and were accurate as of each article’s last update; the linked data pages are always live.