The Singapore Exchange Limited (“SGX“) is seeking comments on the proposed regulatory framework for the listing of Special Purpose Acquisition Companies (“SPACs“) on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX-ST Mainboard“) set out in its consultation paper titled “Proposed Listing Framework for Special Purpose Acquisition Companies”. The consultation closes on 28 April 2021.
After weighing the benefits and risks of SPACs, SGX concludes that SPACs may generate benefits to capital markets participants and may be a viable alternative to traditional IPOs for fund raising in Singapore and the region.
The SGX consultation paper seeks feedback on the key features of the proposed listing framework for SPACs to be listed on the SGX-ST Mainboard (“SGX SPACs”) which aim to balance safeguarding investors’ interests against certain concerns posed by the unique features of SPACs and the capital raising needs of the market.
This Update highlights the proposed admission criteria, listing requirements and key safeguards to protect the minority shareholders’ interests of the SGX SPACs.
For more information, click here to read the full Legal Update.
