blank check company

English

Alternative forms

• blank-check company

Noun

blank check company (plural blank check companies)

1. (business, informal) A company that exists solely for the purpose of merging with or acquiring another entity.

   Synonym: SPAC

   Hypernym: shell company

   • 2012 June 20, Michael J. de la Merced, “Burger King Rejoins the Public Markets”, NYTimes.com:

     Burger King is returning to the market through a combination with Justice Holdings, a so-called blank-check company run by Nicolas Berggruen and Martin Franklin. Formally known as a special purpose acquisition vehicle, it is essentially a shell company with a stock listing that aims to find and merge with a privately held corporation. Such entities essentially give private companies a quick and easy way to enter the public markets.

References

• “Blank Check Company”, U.S. Securities and Exchange Commission.

Further reading

• blank check company on Wikipedia.Wikipedia