IPO 2.0 / SPAC Investor Letters

A traditional IPO involves a lengthy roadshow, investment-bank underwriters, and pricing that Palihapitiya argued systematically favored large institutional investors at the expense of retail investors and even the company going public. He rebranded a decades-old financial structure — the Special Purpose Acquisition Company, or SPAC, a shell company that raises money first and merges with a private company later — as 'IPO 2.0,' arguing it let retail investors get in earlier and let private companies negotiate a price directly rather than through an underwriter-controlled process.