The disparate outcomes of the Acies-Playstudios deal – big bucks for the investment banks that sold it and big losses for retail investors who bought into it – are typical of many SPAC deals.įor this article, Reuters analyzed hundreds of SPACs spanning roughly two years, reviewed banks’ internal documents and regulatory filings, and interviewed more than two dozen bankers, investors, SPAC managers, lawyers and corporate executives. The company said it has “a robust framework for evaluating, approving, executing and optimizing its game initiatives,” and that it is continually “revisiting the conditions and decision to either advance or suspend an initiative.” Playstudios noted that the JPMorgan teams it and Acies worked with came from separate divisions of the bank. An Oppenheimer spokesman said the bank had a minor role in the Acies IPO. JP Morgan, Morgan Stanley and LionTree declined to comment. LionTree Advisors, another Playstudios adviser, earned $6.2 million on the deal, according to Refinitiv estimates, plus $1.6 million in PIPE fees, according to Morningstar and a Reuters analysis. Each bank also got about $1.6 million in PIPE-related fees, according to Morningstar and a Reuters analysis. ![]() Morgan Stanley earned about $5.9 million and Oppenheimer about $1.2 million in underwriting fees, according to Refinitiv estimates. ![]() ![]() PIPEs, which tap big institutional investors, are often necessary to close a SPAC merger. It also received $1.6 million for helping Acies raise additional capital through a maneuver known as private investment in public equity, or PIPE, according to financial research firm Morningstar Inc and a Reuters analysis. The bank has not disclosed its fees, but financial data provider Refinitiv estimates that JPMorgan earned $4.7 million in underwriting fees and $14.2 million as a sell-side adviser.
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