LDH Growth Corp I (NASDAQ: LDHA) is a company that, by its very nature, does not have significant operations, and was established for a special purpose. In this article, we take a deep dive into this stock.
An Overview of LDH Growth Corp.
LDH Growth Corp I (LDHA) is essentially a special purpose acquisition company working in close collaboration with SBLA Advisers Corp. (SBLA), the investment manager for the SoftBank Latin America Fund, to allow a technology business to list publicly. The company came into being with the sole purpose of entering into a strategic partnership with a high-potential and forward-looking management team seeking huge market potential focusing on the markets of the Southern and Central Americas. LDH’s managerial expertise, as well as its wide reach to global institutions, makes it a prime partner, ensuring the creation of business synergies.
The Investment Value of LDHA Stock
LDHA stock is by no means a unique one, especially considering that 50% of companies listed in US stock markets belonged to special purpose acquisition companies. The core value intrinsic to LDHA lies in its partnership with SBLA Advisers. In fact, the core management team of the company are senior personnel for SBLA Advisers. For instance, LDH’s CEO and Chairman, Marcelo Claure is also CEO of Softbank Group International and SBLA Advisers. Moreover, LDH Growth is the perfect partner a business can attach itself to, in order to navigate through the financial and regulatory minefield which is prevalent in Latin American markets. Given the promise inherent to the stock, LDHA stock was present at a 0.5% stake in billionaire investor, Chase Coleman’s 13F portfolio.
LDHA is an interesting stock to consider investing in. Even though the entity is a special purpose acquisition company, it offers value through its core strengths which are sure to lead to synergy creation, in the high-growth markets of Latin America.