Three investment firms with deep health care investing experience are forming a new SPAC that will seek to buy a diagnostics company and take it public, Axios has learned.

Between the lines: New SPAC formation has slowed, due to a glut of offerings and new SEC scrutiny, but plenty of veteran investors are continuing to jump into the arena.

Details: Venture capital firms ARCH Venture Partners and Section 32 are teaming with Deerfield Management, which invests in both public and private companies.

• The SPAC already has filed confidentially for its IPO with the SEC. A publicly-available prospectus is expected within the next month or so.