Palihapitiya will liquidate two companies on blank checks as choppy markets discourage valuations.

Social Capital Hedosophia Holdings Corp IV and Social Capital Hedosophia Holdings Corp VI will return the funds raised to shareholders, Palihapitiya said in a blog post on Tuesday. (https://bit.ly/3RZxOvR)

The two shell companies were closed after failing to complete business combinations by Oct. 14, according to regulatory filings.

The companies raised $400 million and $1 billion in initial public offerings in October 2020 and intended to focus on companies in the technology sector.

“Over the past two years, we’ve evaluated over 100 targets and although we’ve come close to closing a deal several times, we’ve pulled away each time,” Palihapitiya said.

Palihapitiya has been one of the most high-profile faces of SPACs, merging them with a range of companies, from space tourism company Virgin Galactic Holdings Inc to online lending startup SoFi Technologies Inc and biotech firm ProKidney Corp. .

His decision to liquidate the two shell companies comes at a time when the frenzy over listings through SPACs has slowed after nearly two years of huge popularity.

“Ultimately, to complete a deal, we would have had to stretch the price or buy an inferior asset – which we weren’t happy with,” Palihapitiya said.

Billionaire investor William Ackman, who raised $4 billion in the biggest SPAC in history, also told investors in July he would return the sum after failing to find a suitable target company to go public through of a merger.

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