skip to main content
X

Services

SPAC Support

Special Purpose Acquisition Companies (SPACs) quickly emerged as a hot trend of 2020, but they are also taking heat under new SEC scrutiny and increasingly complex accounting requirements. UHY's team of advisors can help navigate the changing environment, and is actively assisting companies in complying with the new SEC compliance.

SPOTLIGHT ON SPACs: REGULATORY RUT

SPOTLIGHT ON SPACs: REGULATORY RUT

The dramatic change in the SPAC regulatory environment left many companies scrambling to get their financials in order. Managing Director John Bautista and Principal Scott Norris have been in the thick of the action and spoke with Mergermarket on what they are seeing from the accounting side.

Bautista noted that the reclassification of warrants as liabilities may cause a material change in a deal’s valuation. If that happens, financials need to be restated. With so many factors to consider, SPAC management teams are varied in their response with some management teams taking a more cautious route, according to Bautista.

Norris is cautiously optimistic about the situation, especially with some firms and valuations teams putting aside competitive differences to resolve the latest issue. He acknowledged the impact was “quite a shock”, but all invested parties are collaborating to make this “just a short-term hurdle that hopefully we get through.”

 

Subscribers can read the full article published by Mergermarket.

Non-subscribers who would like a copy of the article should contact us using the form on this page.

HAVE A QUESTION?

Please complete this form to hear from John Bautista and Scott Norris

Hide Firm Disclaimer

©2021 UHY LLP. ALL RIGHTS RESERVED.

UHY LLP is a licensed independent CPA firm that performs attest services in an alternative practice structure with UHY Advisors, Inc., and its subsidiary entities. UHY Advisors, Inc.’s subsidiaries, including UHY Consulting, Inc., provide tax and business consulting services through wholly owned subsidiary entities that operate under the name of “UHY Advisors” and “UHY Consulting”. UHY Advisors, Inc., and its subsidiary entities are not licensed CPA firms. UHY LLP, UHY Advisors, Inc. and UHY Consulting are U.S. members of Urbach Hacker Young International Limited, a UK company, and form part of the international UHY network of legally independent accounting and consulting firms. “UHY” is the brand name for the UHY international network. Any services described herein are provided by UHY LLP, UHY Advisors and/or UHY Consulting (as the case may be) and not by UHY or any other member firm of UHY. Neither UHY nor any member of UHY has any liability for services provided by other members.

On this website, (i) the term "our firm", "we" and terms of similar import, denote the alternative practice structure conducted by UHY LLP and UHY Advisors, Inc. and its subsidiary entities, and (ii) the term "UHYI" denotes the UHY international network, in each case as more fully described in the preceding paragraph.