TOKYO -- SoftBank Group said on Monday that its two new special purpose acquisition companies, or SPACs, will be listed on the U.S. Nasdaq exchange on Tuesday.
The Japanese conglomerate will raise $480 million with the listings as it aims to acquire businesses in the artificial intelligence sector.
A SPAC does not have a business at the time of listing. The operator searches for an acquisition target and turns the SPAC into a functioning company. The acquisition target will then be listed by merging with the SPAC.
For startups, a merger with a SPAC reduces the time and procedures required to go public.
SoftBank's SPACs are funded mainly by the investment arm Vision Fund. SoftBank listed its first SPAC on the U.S. market in early January and raised $525 million.