Churchill Capital Corp IV (NYSECCIV) is down 20% from last week’s peak as SPAC stocks continue to face rough times. This comes as the SEC mulls over stringent regulations for SPAC mergers in a bid to protect investors. Churchill Capital is among the higher price SPAC stocks as anticipation lingers regarding its merger with Lucid Motors.
Last week Churchill Capital shares started off on a high, following rumours about a possible merger between Apple Inc. (NASDAQ:AAPL) and Lucid Motors. Apple has been managing plans to unveil an electric vehicle under its Project Titan. Interestingly a merger date between CCIV and lucid is yet to be set, although there is speculation that an announcement could come in Q2 2021.
The SPAC craze took over Wall Street by a storm this past year, and this could come to an end as SEC wants stricter regulation on SPACs. SEC indicates that SPAC-issued warrants should be liabilities, and SPACs should be subject to regulations that IPOs undergo. CCIV is among the SPAC stocks to keep an eye on in the coming months following these suggestions.