For SPAC investors, the heavy focus on a quick ROI – and overall risk aversion – may ultimately make SPACs and the space sector an imperfect fit. The growth in popularity of Special Purpose Acquisition Companies (SPACs) has impacted many industries, including the space sector. While the relationship between the two dates back to the successful merger of Iridium in 2008, the pace of SPAC activity in the space sector truly accelerated in 2020 and 2021, marked by several high-profile mergers. The majority have been successful, with redemption rates equivalent to or lower than those in other SPAC mergers. However, there are several examples of space companies with redemption rates of 50% or more – even as high as 90% in the case of small satellite manufacturer Spire Global, which went public in August 2021.