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Is the Pipe Structure Relevant to the Spack IPO?
Spacks were much the domain of the merger arb hedge funds, because there is a warrant imbedded in the traditional ipo offering. Now you're seeing a transition away from those types of arbs more towards long only investors who really view the spack i po as a way to get a foothold and to start bueling a relationship with the management team again. On the back end, it's like a price of entry. People invest in the spack so that they are the one of the lucky few who get the placement of the pipe.