The best disruptors are focused on customers, not products, they use technology rather than fear it, they create new opportunities often where regulations don't exist and they are backed by those with deep pockets and an appetite for risk. Colin Cullis presents stories of Business Unusual - those people and companies driving the next industrial revolution. The associated articles and videos are available here
https://www.702.co.za/features/110/business-unusual
Would you invest in a blank cheque company?
This is a story about special purpose acquisition companies (Spacs) and online advertising in an age when everyone is a publisher.
A SPAC offers investors the chance to invest money in a shelf company which will acquire a suitable private company that would benefit from listing. Because the SPAC, also called a blank cheque company, has no product or business allows the process to allow it to list much easier.
Investors typically buy shares at a set rate with an option to buy more once an acquisition target has been found provided the deal is concluded in about two years. If nothing happens investors get their money back but if they find a unicorn the share price might jump giving the investor a good return, the operator an even better return (often as much as 20% of the equity) and the acquired company gets the money from the SPAC and gets to be be publicly traded.
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