Dragoneer Growth Opportunities, a newly formed SPAC, raised $600 million in its IPO, offering 60 million units at $10. Each unit consists of one share of common stock and one-fifth of a warrant, exercisable at $11.50.
The units were listed on the New York Stock Exchange (NYSE) and now trade under the ticker symbol “DGNR.U.” The initial public offering closed on Tuesday.
Dragoneer Investment Group formed Dragoneer Growth Opportunities as a special purpose acquisition company (SPAC). SPACs have been around for a long time. They are most commonly known as “blank check” companies. Dragoneer Growth was formed strictly to raise capital through its IPO.
On Aug. 14, Dragoneer began fundraising in the Bay Area’s seventh ‘blank check’ IPO of 2020. The offering is the third SPAC company offering in three days that involves these same investors. And 2020 has been record-breaking with 70 SPACs nationwide so far this year. The previous record was 59 total for the year.
Marc Stad and Pat Robertson will lead the new company, which describes itself as a newly organized blank check company formed “for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities.”
