SPACs get a reputation makeover: The latest incarnation of special-purpose acquisition companies has some investors hailing them as an almost no-risk venture that makes a good alternative to short-term bonds, according to the WSJ. Once seen as a fraud magnet, the unusual investment vehicles became a major 2020 craze before seeming to lose their appeal. Now some investors say the slump in the market following last year’s rapid increase in the number of SPACS means shares are trading at a discount and high yields can be achieved through short-term “SPAC arbitrage”: Redeeming shares for a higher value once a merger is announced or the SPAC is liquidated.

Shares of ACWA Power sank on their second trading day, failing to maintain the momentum of a record debut on Tadawul and finishing down 8.4% at the closing bell. The drop came after the Saudi energy player, whose listing was the biggest in the kingdom since Aramco’s, saw its share price gain a massive 30% on its first day as a public company earlier this week.

THE CLOSING BELL-

The EGX30 rose 0.7% yesterday on turnover of EGP 811 mn (46.4% below the 90-day average). Regional investors were net buyers. The index is down 0.6% YTD.

In the green: ElSewedy Electric (+3.6%), Orascom Development Egypt (+2.5%), and Ibnsina Pharma (+2.2%).

In the red: AMOC (-3.9%), Pioneers Properties (-3.4%) and Raya Holding (-1.9%).