Exclusive: Betsy Cohen Talks SPACs, Buffett, Bitcoin On 'SPACs Attack'
Cohen commented on the recent SPAC crackdown by the Securities and Exchange Commision, adding that the SEC is concerned with making sure companies going public via SPAC provide "well-grounded" forward-looking statements.
Cohen On Buffett's SPAC Comments: Co-host Chris Katje asked Cohen to share her thoughts on Warren Buffett's comments on SPACs over the weekend.
In regards to the two-year time frame, Cohen said that two years is a reasonable cycle. It shouldn't take a knowledgeable sponsor longer than two years to do the work, she said.
As far as SPACs making it harder for Buffett to acquire companies, she said: "I'm not sure I buy into that."
SPAC sponsors provide education about all three routes — IPOs, direct listings and SPACs — to transition from private to public.
"I think we've done Buffett a service," she told Benzinga.
Affiliated Companies: The key criteria for a potential SPAC deal include good management, operating systems and a well thought-out business plan with recurring income, Cohen said.
- FinTech Acquisition Corp III (NASDAQ:FTAC) merged with Paya Holdings Inc (NASDAQ:PAYA). Paya has a very well thought-out business plan, she said.
- FinTech Acquisition Corp V (NASDAQ:FTCV) is set to merge with eToro. The company has a lot of tailwinds, she said. It's a trading platform that is dedicated to educating investors, which she noted is becoming more and more important as interest in investing grows.
- FTAC Olympus Acquisition Corp (NASDAQ:FTOC) signed a definitive agreement with Payoneer Inc. which provides a global payments and commerce-enabling platform. E-commerce shopping has exploded and the trend will continue moving forward, Cohen said. Payoneer "absolutely could" incorporate Bitcoin (CRYPTO: BTC) into its platform in the future, she told Benzinga.
- Cohen didn't have a specific opinion on Bitcoin, but she noted that she is supportive of innovation, adding that the opportunity to innovate is very exciting.
- Metromile Inc (NASDAQ:MILE) offers an innovative look at insurance and risk calculation, Cohen said. There is an opportunity for Metromile to redefine automobile insurance, she added. Metromile has plenty of tailwinds going forward, she said, adding that the company is "riding the wave of newly accessible technology."
The SPAC market "still has a lot of legs," she said, adding that there are a number of companies out there that should take advantage of transitioning from private to public via the SPAC route.
© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.