SPACs are back, apparently. Eric Trump and Donald Trump Jr. just raised $300 million through their blank-check company, New America Acquisition I Corp., and the stock popped nearly 5% in its first day of trading on Thursday, December 4.
That's a decent debut, especially considering that Trump-linked assets have been selling off lately. The company priced its IPO at $10 per share, and investor appetite suggests there's still enthusiasm for the SPAC model despite its rocky recent history.
According to regulatory filings, New America plans to hunt for merger targets focused on revitalizing domestic manufacturing, expanding innovation ecosystems, and strengthening critical supply chains. Think "America First" but in SPAC form.
The deal structure is standard SPAC fare: each unit includes one Class A share and half a warrant, with full warrants allowing holders to buy shares at $11.50. Dominari Securities LLC and D. Boral Capital LLC served as co-book-running managers. The stock and warrants trade on the NYSE under "NWAX" and "NWAXW."
The SPAC Comeback Story
Remember when SPACs were everywhere during the pandemic? Then they crashed spectacularly, leaving retail investors holding the bag while interest rates climbed and regulators circled. Well, they're having a moment again.
As of mid-November, 194 SPACs had formed this year—more than the combined total from the previous three years, according to Global Finance Magazine. The revival comes thanks to lower borrowing costs after the Federal Reserve's second rate cut of 2025, plus renewed excitement around sectors like cryptocurrency, nuclear technology, and quantum computing.
But let's be clear: SPACs remain risky. Over 60% of those launched during the 2020-21 boom failed to complete mergers, and many traded below their IPO prices. Even Donald Trump's own SPAC venture, Trump Media, has been a wild ride—spiking near $80 before tumbling back to around $10.
New America's debut shows there's still appetite for these vehicles, especially with the Trump name attached. Whether that translates to long-term success is another question entirely.