Morning Roundup: January 22, 2024

At the SPAC of Dawn

The start of the Fed’s quiet period, which is to last until the beginning of February, has been positive for the market so far, but a less productive silence may build around the SEC’s Wednesday meeting on SPAC rule changes.

The decks are currently cleared for a tranquil week in SPACland with just three extension votes on the docket and no completion votes. Some would have normally been held this week, but were instead postponed into next week or February.

The first of this week’s votes is a bit of housekeeping by Newcourt (NASDAQ:NCAC), whose shareholders have already approved its combination with psychedelic drug developer Psyence. Constellation I (OTC:CSTA) and JAWS Mustang (NYSE:JWSM) are both still searching for a target and Constellation I tipped that it received redemption requests for 3,399,900 shares, which would reduce its trust to about 1,093,943 share remaining if none are reversed.

News and Rumors

• Bloomberg: Vertical Aerospace (NYSE:EVTL), which completed its combination with Broadstone Acquisition Corp. in 2021, secured $50 million of new funding from founder Stephen Fitzpatrick, a cash injection that will prevent the flying taxi firm from running out of cash later this year.
• Tech Crunch: The ousted founder of bankrupt EV startup Lordstown Motors (OTCMKTS:RIDEQ) has launched a new company called LandX Motors, that prominently displays the same electric pickup truck he once promised would beat Tesla, Ford and General Motors to market. Lordstown completed its combination with DiamondPeak Holdings in 2020.
• LA Business Journal: Fitch has downgraded the debt for Lionsgate (NYSE:LGF) from “B” to “B-” despite the expected cash infusion from its planned spinoff of its TV and film production divisions in a combination with Screaming Eagle (NASDAQ:SCRM).