SPAC Sponsor vs CEO Who’s in Charge?

Who’s really in charge — the sponsor or the CEO?

Before the merger, the sponsor runs the show: raising capital, finding the target, and structuring the deal.

But once the merger is complete?

The CEO of the acquired company takes over.

The sponsor might stay involved — maybe on the board or as an advisor —

but from that point forward, the CEO drives operations, growth, and strategy.

It’s a relay — not a tug of war.

Talking Points:

• Sponsors control the SPAC entity and capital before merger.
• The CEO of the target company takes operational leadership post-merger.
• Sponsors may help select or vet the CEO during the deal process.
• Clear roles are critical to avoid confusion or power struggles.
• Many sponsors step aside post-transaction, though some stay on as board members.