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SPAC investors worry about a ‘stigma’ after SEC warnings, surge in lawsuits

The Securities and Exchange Commission has focused its attention on the growing number of companies going public through transactions with special purpose acquisition companies, or SPACs, and the regulator's latest comments --- calling into question the purported legal advantages SPACs provide private companies seeking to go public --- has some investors worried that new SPAC deals will come soon grind to a halt.
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