June 22 (Reuters) - Special purpose acquisition company (SPAC) Tastemaker Acquisition Corp said on Thursday its planned $989 million merger with jewelry distributor Quality Gold had been terminated due to challenging market conditions.
Market reception for SPACs has been frosty since late 2021 after some companies that went public via the SPAC route performed poorly on the stock market.
The U.S. Federal Reserve's rate hikes last year added to the pressure, with multiple firms ending their planned SPAC mergers.
SPACs are publicly listed companies raised with the intention of merging with a private company, which goes public through the merger.
Tastemaker's deal with Quality Gold was announced in October last year.
(Reporting by Niket Nishant in Bengaluru; Editing by Krishna Chandra Eluri)
((Niket.Nishant@thomsonreuters.com;))
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.