SPAC research data

Using a sample of 200 SPAC mergers announced in the 2006-2023 period, this study investigates the short-term stock price reaction of the publicly listed rivals of the target firms around the announcement of a deal. The results provide evidence of significant negative valuation changes for rival firms, especially those with higher industry relatedness to the target firms. Collectively, the findings indicate that the industry dynamics surrounding SPAC merger announcements are driven by competitive effects.