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Not really. You just have to ask yourself why these private companies were even going the SPAC route rather than do a regular IPO. The answer was usually that these were not particularly great companies, and doing an IPO means the company is put under a lot of scrutiny. SPACs are a way to avoid that, so insiders can cash out.

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Or they were high capital low margin businesses. There are many of these out there, like defense or airline businesses. We need them to exist, but investors don’t like them because it’s harder to make money from them. It doesn’t mean the business is bad, it just means payoff is longer. SPACs are one of the few ways they can get money.

So then what are the high capital low margin businesses that are forgoing a traditional IPO and using a SPAC instead?

The vast majority of businesses are high capital and low margin by HN standards. Plenty of them IPO just fine.

Defence is a different beast, and not necessarily low margin neither. Airlines as well, except the margin are tighter there. Since both industries are rather well understood by investors, IPOs and general investment are not that much of a problem.

All those companies relying on VC money to grow by selling dollars for dimes, in hopes of dumping the whole thing on retail investors through an IPO, well, those are in a lot of trouble now. As are those in need of a lot of capital to develop products, e.g. expensive hardware, that don't have a clear path to releasing a product to the market so far.

Why would it be different to raise money through a SPAC if you're capital intensive?

One that I know of is Wheels Up. It's a membership company for flying privately.

Private flights are insanely expensive, so at least there's a need. Unfortunately, there are also pretty high costs. No idea what Wheels Up financials look like.

UP probably not the best example of a successful public offering: https://www.google.com/finance/quote/UP:NYSE

where do I say it was successful?

that was an answer to "not really"

You were replying to a comment asking “Ant Successful”, so…

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