A SPAC (Special-Purpose Acquisition Company), which can also be termed as a “shell” or “blank check company”, is included in stock exchanges with the aim of gaining investment by means of public offers with the further confluence with an existing private company. Such entities are administered by the SEC (Securities and Exchange Commission in the United States).
As a rule, a SPAC must grab capital and acquire this or that company within 24 months. After that period, investors will get their funds back. Such entities exist in order to make it easier for nongovernment enterprises to attract investment, with minimum time and effort, so the process of Initial Public Offering listing can be dismissed.