Colin Kaepernick just saw a massive new deal he was putting together fall apart after Colin, a man famous more for using the media effectively than playing football, wouldn’t do TV interviews to promote the venture.
Kaepernick has a new company, Mission Advancement, which is a special purpose acquisition company (SPAC) that is all the rage on Wall Street.
A SPAC is a company with no commercial operations that is formed only to raise capital through an initial public offering (IPO) for the sole purpose of acquiring or merging with an existing company. These are also called ‘blank check companies.’
Kaepernick’s SPAC went public and initially raised or received commitments of $345 million. The goal was to buy a socially conscious company to fit with Colin’s image.
They found the perfect company, The Change Co. This company is a California lender focused on helping minority borrowers.
Colin hit up his Hollywood friends and received big commitments from Tyler Perry, WNBA stars Diana Taurasi, Maya Moore, music producer J. Cole, rappers Quavo and Nas, and some real-estate investment firms Angelo Gordon and MFA Financial Inc.
Colin was meant to throw in $10 million of his own money as well.
Everything looked good until Colin’s ego came running into the scene and brought the whole thing crashing down because he wouldn’t do a sit-down interview with Good Morning America’s George Stephanopoulos to promote the venture.
The people at The Change Co believed they were getting Kapernick’s media savvy and thought he would jump at the chance to sit for national interviews to promote this minority lender and the concept of financial freedom.
But they learned the hard way that Colin would never sit for a real interview where he would be asked the hard questions. Colin needs to control the narrative so he sticks to media he can produce and control.
According to the Wall Street Journal, “Such an appearance would have been out of character for Mr. Kaepernick, who has never spoken about the issue in such a forum and has granted few interviews.
“Instead, he has cultivated his image through his social-justice initiatives and scripted appearances, most notably an advertising campaign with Nike Inc. and a six-part documentary about his childhood that ran on Netflix Inc. this fall.”
So the deal is off. The investors of course can pull out of the failed deal if they want and do not be surprised if a few do.
Colin Kaepernick’s SPAC was close to a deal to buy a minority-focused lender. It fell apart after he balked at stumping for it on TV, among other things. A cautionary tale for the celebrity hype movement w/ @andrewlbeaton https://t.co/JKeTjrB1e4— Liz Hoffman (@lizrhoffman) December 24, 2021
WSJ: Colin Kaepernick SPAC deal collapses— Josh Caplan (@joshdcaplan) December 24, 2021