If you like buying special purpose acquisition companies (SPACs) at $10 a share, you’ll love buying them at $6.67 a share. A Sober Look at SPACs was a study last year by Stanford and NYU that revealed “by the time the median SPAC merges with a target, it holds just $6.67 in cash for each outstanding share.” So that whole “ten dollars a share is what institutional investors paid” thing isn’t so comforting anymore. Still, there are some SPACs that are worth a look, one of those being Sema4 which is planning to merge with a SPAC called CM Life Sciences (CMLF).
About Sema4
Founded in 2017, Connecticut startup Sema4 took in $241 million in disclosed funding from investors with half of that coming from a July 2020 round led by asset management giant BlackRock (BLK). That money is being used to build a vision of