Why More Growth Companies Are Looking Beyond the Traditional IPO
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Enhanced Games at Resorts World Las Vegas. PHOTO: FACEBOOK@ENHANCEDGAMES
Enhanced Games reached the public markets in less than six months.
In an era where traditional IPOs can take more than a year to complete, the speed of the company’s merger with A Paradise Acquisition Corp. (NASDAQ: APAD) stands out, particularly given the significantly tighter regulatory scrutiny surrounding SPAC transactions since 2021.
The transaction highlights why some growth-stage companies are evaluating special-purpose acquisition companies (SPACs) as a viable alternative to the traditional IPO process.
Led by Dr. Aron D’Souza and backed by investors including Peter Thiel and Christian Angermayer, Enhanced Games announced its Business Combination Agreement with APAD in November 2025. The transaction closed in May 2026, bringing the company to the public markets materially faster than the timeline typically associated with a conventional IPO.
For decades, the traditional IPO has been considered the default route for private companies entering the public markets. But for many high-growth businesses today, the process has become increasingly slow, expensive, and difficult to execute efficiently.
A conventional IPO can take well over a year to prepare, involving extensive audits, regulatory reviews, underwriter coordination, investor roadshows, and careful timing against market conditions. During that period, companies remain exposed to volatility, shifting investor sentiment, and delayed access to capital. According to EY, many companies postponed planned IPOs amid market volatility and uncertainty surrounding U.S. tariff announcements, highlighting how sensitive IPO execution can be to broader market conditions.
For businesses operating in fast-moving industries, timing matters. Delayed access to liquidity can slow expansion, hiring, acquisitions, partnerships, and product development at critical stages of growth.
That is one reason why the merger between Enhanced Games and APAD is notable. The SPAC structure allowed Enhanced Games to negotiate valuation, governance terms, and financing arrangements early in the process, compressing many of the steps normally associated with a conventional IPO into a single transaction.
Enhanced Games operates across sports, media, performance science, and wellness, sectors that require significant upfront investment and rapid execution. Earlier access to public capital provided the company with liquidity, visibility, and strategic flexibility at an important stage of growth.
The public listing also gives the company tradable equity that can potentially support acquisitions, partnerships, athlete compensation structures, sponsorship arrangements, and future fundraising initiatives. These capabilities are particularly relevant in industries evolving as rapidly as sports entertainment, wellness, and human-performance science, where speed itself can become a competitive advantage.
The deal also highlights one of the SPAC market’s core advantages: the ability to combine capital raising and public-market entry within a single process.
Beyond speed, the SPAC structure offered Enhanced Games another major advantage: earlier visibility into valuation.
In a traditional IPO, pricing is largely determined near the end of the process through institutional book-building and investor demand during the roadshow phase. Even late-stage IPO candidates can face valuation cuts, downsized offerings, or postponed listings if market conditions weaken.
Recent IPO markets have repeatedly demonstrated this risk. Instacart went public in 2023 at an approximate US$9.9 billion valuation, which is dramatically below the US$39 billion private valuation it achieved during the 2021 market peak. Similarly, WeWork’s failed IPO attempt became one of the clearest examples of how rapidly investor sentiment can shift during the IPO process.
SPAC mergers operate differently.
Enhanced Games secured an implied enterprise valuation of approximately US$1.2 billion months before closing the transaction. While the merger still required SEC review and shareholder approval, the company gained significantly greater visibility into deal economics much earlier in the process.
That certainty is particularly valuable for growth companies whose valuations are tied more closely to long-term platform potential than near-term profitability.
Rather than relying entirely on shifting IPO market sentiment, the SPAC structure allowed Enhanced Games to negotiate around its broader growth strategy and future expansion plans from the outset.
The Enhanced Games transaction also reinforces why some growth-stage companies evaluate SPACs as an alternative to the traditional IPO process.
Traditional IPO investors often prefer businesses with long operating histories, stable earnings, and predictable growth profiles. Many expansion-stage companies simply do not fit that model yet, even if their long-term opportunities are substantial.
SPACs offer a different pathway.
Instead of waiting years to achieve the operational maturity typically expected in a conventional IPO, companies can access public-market capital earlier while still in growth mode.
For Enhanced Games, early access to the public markets provides more than capital. Public equity can support acquisitions, partnerships, athlete compensation structures, sponsorship arrangements, and future fundraising efforts. These capabilities are particularly important in sectors evolving as rapidly as sports entertainment, wellness, and human-performance science, where speed itself can become a competitive advantage.
The transaction also highlights how the SPAC market has evolved since the speculative boom of 2020 and 2021.
Today’s de-SPAC environment operates under significantly tighter regulatory scrutiny, including enhanced disclosure requirements, greater SEC oversight, and stricter treatment of projections and liability standards.
The Harvard Law School Forum on Corporate Governance noted that redemption rates spiked in 2022, in some cases approaching 100%, contributing to a significant slowdown of the SPAC activity.
In response to rising investor concerns and regulatory pressure, the U.S. Securities and Exchange Commission adopted enhanced SPAC disclosure and liability rules in 2024 designed to align de-SPAC transactions more closely with traditional IPO standards. Sponsors also faced greater pressure to demonstrate financing certainty, stronger disclosures, and more credible post-merger execution.
Enhanced Games completed its transaction within this more disciplined environment.
Its Form S-4 included audited financial statements, governance disclosures, transaction details, and extensive risk-factor analysis subject to SEC review. The company also supplemented SPAC trust proceeds with a separately arranged US$40 million PIPE financing commitment designed to strengthen liquidity and improve deal certainty.
That structure reflects a more institutional and disciplined SPAC market than the speculative wave seen several years ago.
The Enhanced Games transaction demonstrates that, despite tighter regulation and a far more selective market environment, SPACs can offer certain growth companies a practical alternative to the traditional IPO.
For businesses prioritising speed, capital access, and execution certainty, a well-structured de-SPAC transaction may provide a more efficient route to the public markets, particularly when supported by credible financing, disciplined structuring, and strong investor backing.
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Structured AI interviews and human judgment combine to address the global talent shortage
Updated
April 1, 2026 8:56 AM
ManpowerGroup World Headquarters in Milwaukee. PHOTO: ADOBE STOCK
As hiring pressures mount across global markets, ManpowerGroup is turning to technology to strengthen how it connects people to work. The workforce solutions major has announced a global partnership with Hubert, a startup focused on AI-driven structured interviews. The aim is simple: make hiring faster and fairer, without removing the human touch.
ManpowerGroup has spent decades operating at the center of the global labor market. The company works with employers across industries to fill roles, manage workforce planning and build talent pipelines. With millions of placements each year, it has a clear view of how strained hiring has become. A large share of employers today report difficulty finding skilled talent. At the same time, candidates expect more transparency, quicker feedback and flexibility in how they engage with employers.
Hubert enters this picture as a specialist in structured digital interviewing. The startup has built tools that allow candidates to complete interviews online, at any time, while being assessed against consistent criteria. Instead of relying on informal screening calls or resume filters, its system focuses on standardized questions tied directly to job requirements. The idea is to bring more consistency to early-stage hiring.
The partnership brings these capabilities into ManpowerGroup’s global operations. AI-powered interviews will now support the first stage of screening, helping recruiters identify qualified candidates earlier in the process. This does not replace recruiters. Final decisions and contextual judgment remain with experienced hiring professionals. What changes is the speed and structure of the initial assessment.
For employers, this could mean earlier visibility into job-ready talent and less time spent on manual screening. For candidates, it offers more flexibility. A significant portion of interviews on Hubert’s platform are completed outside regular office hours, allowing applicants to engage when it suits them. That flexibility can make a difference in competitive labor markets where timing matters.
The collaboration is also positioned as a step toward reducing bias. By evaluating each candidate against the same transparent standards, the process becomes more consistent. While no system can remove bias entirely, structured assessments can reduce the variability that often comes with unstructured interviews.
At its core, the partnership addresses a gap many large organizations are facing. They need scale and speed, but they cannot afford to lose the human judgment that good hiring depends on. Manual processes are too slow. Fully automated systems can feel impersonal and risky. ManpowerGroup’s approach suggests a middle path, where technology handles repetition and structure and recruiters focus on potential and fit.
The move also reflects a broader shift in the workforce industry. AI is no longer being tested on the sidelines. It is being built into the foundation of hiring operations. For established players like ManpowerGroup, the challenge is not whether to adopt AI, but how to do so responsibly and at scale.
By working with Hubert, the company is signaling that the future of recruitment will likely blend structured digital tools with human expertise. In a market defined by talent shortages and rising expectations, that balance may prove critical.