Law firms could make hundreds of millions of dollars on the SPAC boom, as elite firms elbow in on a growing market 2020/09/17 19:13:49 Business Insider
Summary List Placement Special purpose acquisition companies have taken 2020 by storm, and it's not just the banks that are cashing in. Law firms stand to collect more than $30 million in fees from the roughly 99 blank check companies that have announced IPOs so far in 2020, like Bill Ackman's Pershing Square Tontine and Michael Klein's two new billion-dollar Churchill Capital SPACs. And they could bill about three to five times as much — or $90 million to $150 million — when the companies eventually complete their mergers, according to securities filings and lawyers involved in such deals. Those figures are a far cry from the $800 million-plus that big banks have reportedly made from underwriting such deals, and they are dwarfed by the $39 billion that SPACs have raised in their initial public offerings so far this year, according to SPAC Research. But they are a compelling reason for law firms to tout their abilities and results with such vehicles. "Typically, if we are pitching a client to do their IPO work, we're really pitching that SPAC to do their full lifecycle work," said Josh DuClos, a partner at Sidley Austin. "The more time-intensive, cost-intensive events of the SPAC [follow the IPO].
SHAREHOLDER ALERT: WeissLaw LLP Investigates LF Capital Acquisition Corp. 2020/09/01 00:01:00 PR Newswire
NEW YORK, Aug. 31, 2020 /PRNewswire/ -- WeissLaw LLP is investigating possible breaches of fiduciary duty and other violations of law by the board of directors of LF Capital Acquisition Corp. ("LFAC" or the "Company") (NASDAQ: LFAC) in connection with the proposed acquisition of Landsea…