Former Gap CEO Art Peck plans to raise $200 million for his Good Commerce Acquisition Corp., the latest bigwig to ride the SPAC, or special acquisition company, gravy train.
As a SPAC, Good Commerce, incorporated in the Cayman Islands, aims to acquire apparel and other brands with “business models for tomorrow” that “sit on modern, nimble technology,” it said in a Securities and Exchange Commission filing.
“Our objective is to create a next-generation consumer holding company by combining exceptional brands and leadership teams in the apparel and accessories, outdoor, health and wellness, home and other consumer-related industries to create long-term value for our shareholders,” the SEC filing said. “While we may pursue an initial business combination with a company in any sector, we intend to focus on apparel and accessories, wellness, home accessories, and other next-generation lifestyle brands and companies.”
Good said customers want to “access brands without friction across all channels” and look to companies that align with their values. People today, it added, are no longer simply consumers of things. “We want to connect and find like-minded people and brands that enhance and add to our lifestyle. We want more than just a product or a transaction—we want a sense of belonging,” it said.
Despite the emphasis on digital, Good doesn’t believe brick and mortar is out of the picture. Rather, stores are one form of customer engagement and experience, and allow for the “full 3D expression” of a brand. When done right, brick-and-mortar creates brand awareness, and can be fun and emotional. “We believe stores of the right size and in relevant locations make money,” it said.
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Peck will serve as chairman and CEO, with Gary Wassner, CEO of factoring firm Hilldun Corp., filling the vice chairman role. Serving as president is Abinta Malik, who spent 22 years at Gap Inc. included time as executive vice president and general manager for Greater China. She most recently was interim head of digital operations.
The SPAC is expected to list on the Nasdaq Capital Market, although it doesn’t yet have a trading symbol.
Peck joins former Gap chairman and CEO Glenn Murphy, currently chairman of Lululemon Athletica Inc., who teamed up with KKR & Co. last month to raise $1.2 billion for their SPAC, KKR Acquisition Holdings I Corp. Simon Property Group is looking to raise $300 million for its SPAC, Simon Property Group Acquisitions Holdings.
Fashion and retail executives aren’t the only ones eyeing the SPAC vehicle to take a company public. Former Trump Cabinet member Wilbur Ross plans to raise $345 million through Ross Acquisition II. And celebrity and former New York Yankees star Alex Rodriguez is working to raise $500 million through a SPAC known as Slam Corp.