That is a pretty neat word play in the title, right? Sadly, SPAQ shares might be the first SPAC shares to go below $10, and that is pre-merger.
Remember summer, when investors basked in the warm glow of rosy SPACs numbers? The mood grew somewhat chillier in October.
You could blame NKLA or HYLN for this, but the harsh truth is our expectations were set too high.
Where is SPAQ going from here?
With merger vote just around the corner, and with SPAQ stock price near redemption levels there is a good chance the shares will drop to single digits in a couple of weeks, or sooner. This is a so called $3B company that will see its first real revenue somewhere around 2022, and the cornerstone of their business plan (Agreement with VW) was already proven a fairy tale. If Mr. Fisker couldn’t ink that deal, market cannot trust him moving forward and this is probably the biggest problem so far.
Yes, he designs sexy vehicles but that has nothing to do with his ability to execute and run a business. Go work for a majo
The “SPAC Dream” where all cool SPACs skyrocket above $40 is deadand could come back only if LCA merger is announced soon, but that is another story.
At $30 per share, Fisker is $9B company with no revenue, so I do not see that happening. There are so many bagholders stuck with SPAQ that they will probably use any run up to the merger to get rid of their shares.
With merger date approaching you will have a great chance to leave your SPAQ bag to someone else. This will give you a chance to re-invest and learn from the mistake.