Need Capital?: IPOs Vs. SPACs Vs. Direct Listings

The video tutorial explores three methods of raising capital: traditional IPOs, direct listings, and SPACs. Traditional IPOs involve creating new shares, while direct listings sell existing shares without underwriters, offering benefits like avoiding share dilution and allowing market-driven pricing. SPACs, or blank check companies, facilitate quicker IPO processes with less regulation. The video highlights the surge in SPACs and capital raised in 2020, nearing global records.

What are the three methods of raising capital mentioned in the text?

How does a traditional IPO differ from a direct listing?

What are the advantages of opting for a direct listing?

What is a SPAC and how does it relate to the IPO process?

According to the text, what has been the trend in global IPOs in recent years?