IOSCO’s SPAC network held its first meeting yesterday to discuss the issues raised by special purpose acquisition companies.
While SPACs have long existed, transactions have surged recently, drawing regulatory attention to the issues SPACs raise. While SPACs may offer alternative sources of funding and provide opportunities for investors, they may also raise regulatory concerns.
Following an initial discussion on this issue, the IOSCO Board agreed at its meeting on 9 June 2021 to establish an IOSCO SPAC Network to facilitate information sharing about SPACs and monitor developments in this area. The IOSCO SPAC network will be chaired by Jean-Paul Servais, Chairman of the Financial Services and Markets Authority, Belgium and Vice-Chair of the IOSCO Board.
Mr. Servais said: “I am pleased that so many members of IOSCO have joined the SPACS network to exchange experiences on non-traditional IPOs via SPACS and discuss emerging issues related to investor protection and fair, orderly and efficient markets.”