Acorns Cancels Its $2.2 Billion Plan to Go Public

Harri Weber

Harri is dot.LA's senior finance reporter. She previously worked for Gizmodo, Fast Company, VentureBeat and Flipboard. Find her on Twitter and send tips on L.A. startups and venture capital to harrison@dot.la.

Acorns Cancels Its $2.2 Billion Plan to Go Public
Image from Shutterstock

Investing app Acorns has pulled the plug on its plan to go public through a $2.2 billion SPAC deal with blank-check company Pioneer Merger Corp.

Noah Kerner, CEO of Irvine-based Acorns, blamed “market conditions” for the canned merger, and said the company would instead pivot to a “private capital raise at a higher pre-money valuation,” per a Reuters report.


As it now looks to the private market to raise money to fund its growth, Acorns must also pay Pioneer a $17.5 million breakup fee over the course of the year.

Acorns was among several Southern California-based fintech firms that have turned to SPACs, or special purpose acquisition companies, as an expedited route to the public market. West Hollywood-based banking app Dave listed on the Nasdaq via a SPAC deal earlier this month, while Marina del Rey-based eco-conscious neo-bank Aspiration plans to seal its SPAC merger by the end of the first quarter.

SPAC deals have exploded in popularity in the past few years—and while they can offer a speedier and cheaper alternative to traditional IPOs, they often perform worse and have attracted scrutiny from securities regulators. Local firms like Bird and Sweetgreen have found their stock struggling in the wake of their SPAC deals.

Acorns was founded in 2012 and has since grown to more than 4.6 million paid subscribers who use its online investing and banking services.

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Greater Good Health Raises $10M To Fix America’s Doctor Shortage

Keerthi Vedantam

Keerthi Vedantam is a bioscience reporter at dot.LA. She cut her teeth covering everything from cloud computing to 5G in San Francisco and Seattle. Before she covered tech, Keerthi reported on tribal lands and congressional policy in Washington, D.C. Connect with her on Twitter, Clubhouse (@keerthivedantam) or Signal at 408-470-0776.

Greater Good Health Raises $10M To Fix America’s Doctor Shortage
Courtesy of Greater Good Health

The pandemic highlighted what’s been a growing trend for years: Medical students are prioritizing high-paying specialty fields over primary care, leading to a shortage of primary care doctors who take care of a patient’s day-to-day health concerns. These physicians are a cornerstone of preventative health care, which when addressed can lower health care costs for patients, insurers and the government. But there’s a massive shortage of doctors all over the country, and the pipeline for primary care physicians is even weaker.

One local startup is offering a possible answer to this supply squeeze: nurse practitioners.

On Wednesday, Manhattan Beach-based Greater Good Health unveiled $10 million in new funding led by LRVHealth, adding to $3 million in seed funding raised by the startup last year. The company employs nurse practitioners and pairs them with doctor’s offices and medical clinics; this allows nurse practitioners to take on patients who would otherwise have to wait weeks, or even months, to see a doctor.

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Plus Capital Partner Amanda Groves on Celebrity Equity Investments

Minnie Ingersoll
Minnie Ingersoll is a partner at TenOneTen and host of the LA Venture podcast. Prior to TenOneTen, Minnie was the COO and co-founder of $100M+ Shift.com, an online marketplace for used cars. Minnie started her career as an early product manager at Google. Minnie studied Computer Science at Stanford and has an MBA from HBS. She recently moved back to L.A. after 20+ years in the Bay Area and is excited to be a part of the growing tech ecosystem of Southern California. In her space time, Minnie surfs baby waves and raises baby people.
PLUS Capital​’s Amanda Groves.
Courtesy of Amanda Groves.

On this episode of the L.A. Venture podcast, Amanda Groves talks about how PLUS Capital advises celebrity investors and why more high-profile individuals are choosing to invest instead of endorse.

As a partner at PLUS, Groves works with over 70 artists and athletes, helping to guide their investment strategies. PLUS advises their talent roster to combine their financial capital with their social capital and focus on five investment areas: the future of work, future of education, health and wellness, the conscious consumer and sustainability.

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