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> What's the difference between a SPAC and what used to be called a "reverse merger"?

A SPAC is created for the designated purpose to become a vehicle to take another company public. In a traditional reverse merger situation both companies are engaged in some regular business activity.

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You make a SPAC sound even shadier than a reverse merger.

It's more an indication of how (irrationally) intent companies are on staying private well into their days as a global empire.

Why is it irrational to stay private? Going public constrains you with oversight and public shareholder demands.

If you can get access to capital without public shareholders, you absolutely should.

It seems like the only rational reasons to IPO are out of necessity (you need to raise the money, your employees will quit without liquidation, etcetera), or short-term greed. What other reason would you want to be public?

To me it sounds like all cards are on the table, as opposed to reverse mergers.

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