The international financial regulation of SPACs between legal standardised regulation and standardisation of market practices
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Special Purpose Acquisition Companies (‘SPACs’) are a new phenomenon in financial markets, and there is scant academic literature on the topic. This paper aims to provide a thorough overview of the remarkable story of SPACs from their origin, through blank check companies, to the development of a modern conception of SPAC. A comparative study is carried out by taking into account financial regulation and the ways in which SPACs are governed in different capital markets. Specifically, the American markets are examined, as well as new models of SPACs which have recently appeared on the Bursa Malaysia, the Toronto Stock Exchange and the Korea Exchange. To this end, the final consolidating remarks will serve as a way to evaluate proposals for a new international trend for global financial markets to follow in the coming years.
KeywordsFinancial regulation Financial markets Soft law SPACs
This paper has been awarded the Colin B. Picker Prize (honourable mention) by the American Society of Comparative Law in 2017. The Author is grateful to his supervisor Prof. Michelle Everson at Birkbeck University of London for her invaluable insights on Special Purpose Acquisition Companies.
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