Paul Singer
Photographer: Misha Friedman / Bloomberg
Photographer: Misha Friedman / Bloomberg
Elliott Management Corp., a hedge fund known for its shareholder activist campaigns, is meeting with bankers to raise more than $ 1 billion to fund a company for a special takeover, Dow Jones reported Sunday.
The trial is in its early stages, and plans may change, Dow Jones said, citing people who were familiar with the case and who were not identified. Founded by billionaire Paul Singer, Elliott could use the proceeds to buy a company that is potentially worth billions, based on targets of similar size that SPACs have agreed to trade, the report said.
Once an obscure investment vehicle, SPACs raised $ 83 billion on US stock exchanges in 2020, accounting for about 46% of the total IPO, according to data collected by Bloomberg. This year, at least 117 SPACs have already raised more than $ 35 billion, at the pace for another record year. SPACs pool funds to finance mergers and acquisitions.
It’s not clear which industries Elliott could set his sights on, Dow Jones said.
Elliott, with more than $ 45 billion in assets under management, has worked for change at some of the world’s largest and most prominent companies, including Twitter Inc., Softbank Group Corp., AT&T Inc. and others.