Goodbye SPACs, Hello SPARCs?

While investors have certainly cooled on the idea of special purpose acquisition companies (SPACs), famous hedge funder Bill Ackman is betting they may be open to his spin on the investment vehicle. 🧠

A SPARC is a special purpose acquisition rights company, which operates like a SPAC, acting as a shell to combine with a private company and take it public. However, with a SPARC, investors will know what company the financing vehicle would be used to merge with before they pledge their investments.

Essentially, it provides an extra layer of protection for investors because they can choose not to invest if they don’t like the vehicle’s target company. Whereas with a traditional SPAC, they put the money in, essentially betting on the fund manager and their ability to pick a good target. They may have some idea what they plan to invest in, but not always. 🎯

Now, Bill Ackman starting a SPARC isn’t that exciting of a news story. But where it got interesting is that the billionaire investor signaled that he would “absolutely” do a deal with the social media platform X, previously known as Twitter. However, he hasn’t talked to Elon Musk about the investment yet; he’s just saying he’d be open to it.

Bringing the company back to the public markets in its much leaner, more chaotic form a year after Musk’s acquisition officially closed would be an exciting twist. 🍿

For now, investors will have to wait patiently as Ackman vets his targets. In the meantime, we can all enjoy watching Bill respond to investor pitches in the comments of his tweet. 😆

Adobe Leads Day Of Breakups

Most of today’s stories were related to hookups in the market, but we also need to touch on some major breakups. 💔

The first and most prevalent news story was that Adobe and Figma have called off their $20 billion acquisition. The two companies have faced intense scrutiny from European regulators, today saying, “There is no clear path to receive necessary regulatory approvals from the European Commission and the U.K. Competition and Markets Authority.”

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All About Artificial Intelligence (AI)

It was another busy day for artificial intelligence (AI) news, with three U.S. tech giants unveiling new information and reporting earnings. 📰

Let’s quickly cover the more concise news before jumping into earnings, starting with Google launching its new AI model that it hopes will take down GPT-4. CEO Sundar Pichai said that Google is entering a new era of AI: the Gemini era. 

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$LUNR Reaches A “Tipping Point”

One of the top stories in the market over the last 24 hours has been Intuitive Machines’, which trades under the ticker symbol $LUNR. 📻

The space exploration company’s Nova-C cargo moon lander known as “Odysseus” became the first privately developed spacecraft to land on the lunar surface. It was also the first U.S. spacecraft to soft-land on the moon in over 50 years. 🌝

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JetBlue Jumps As Icahn Accumulates

It’s been a rough few months for JetBlue shareholders after the airline’s merger with Spirit Airlines was blocked by U.S. regulators. However, the stock is popping after hours on news that a billionaire hedge fund manager is dumpster diving and sees value in the stock. 💸

Activist investor Carl Icahn reported a nearly 10% stake, which he’s accumulated on the belief that the stock is undervalued following its recent selloff. He’s already had discussions with the company regarding possibly attaining board representation.

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