More than 20 companies that went public via SPAC went bankrupt last year, according to Bloomberg. Despite its popularity during the pandemic, the obscure investment vehicle turns out to have problems of its own.

More than 20 companies that went public via SPAC went bankrupt last year, according to Bloomberg. Despite its popularity during the pandemic, the obscure investment vehicle turns out to have problems of its own. / AFP via Getty Images

WeWork, DraftKings, Lucid Motors. These are a few companies that have taken an untraditional route to go public through something called SPACs or special purpose acquisition companies. The obscure investment vehicle took off during the pandemic, but has since fallen back to earth. Today, we consider the rise and fall of SPACs and how recent rule changes will affect these deals.

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Tags: IPOs  draftkings  The Indicator  WeWork