Goldman Strategists Say SPACs May Spur $300 Billion M&A Activity
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Blank-check companies looking for deals could lead to $300 billion in mergers and acquisitions over the next two years, according to Goldman Sachs Group Inc.
Special-purpose acquisition companies, or SPACs, have raised $70 billion in 2020 -- a fivefold increase from last year, according to strategists led by David Kostin. Driving the deal boom is a hunt for yield, a shift in SPAC focus to growth stocks from value and retail investors looking for nontraditional and early-stage businesses, they said.