Replies to post #48427 on China Growth Stocks

[RyanW439]

CCME - My guess is, in hindsight they wouldn't do it again. I believe they said they thought it would add credibility to them with a large investor backing them, but it actually did more harm the anything, IMO. I chalk it up to them being inexperienced and probably got talked into doing it by Starr..who got a sweetheart deal..

[ratobranco]

CCME - I agree, Starr was not necessary.

An even better question to ask is, why did they agree to get involved with the SPAC? It always puzzles me why some of these companies are willing to sell shares at a terrible price in order to go public. Not only did Starr get a sweet deal, the SPAC participants, i.e., the public now trading those SPAC shares, did as well.

From what I've heard, going public in U.S. builds credibility and is a huge business catalyst in China.