SPAC Race Heats Up in Asia With First Singapore Listings Due - Bloomberg

SPAC Race Heats Up in Asia With First Singapore Listings Due - Bloomberg

Blank-check companies are set to make a debut in Singapore this month as the financial hub, which has struggled to attract new stock listings, gears up for competition from Hong Kong.

Vertex Technology Acquisition Corporation Ltd., sponsored by state investor Temasek’s Vertex Venture Holdings Ltd., is seeking at least S$170 million ($125 million), while Tikehau Capital SCA-backed Pegasus Asia could raise at least S$150 million. The listings are slated for Jan. 21 and Jan. 25, respectively.

The special purpose acquisition companies, or SPACs, come under a framework introduced by Singapore’s exchange in September as bourses globally compete to attract such listings even at a time of growing regulatory scrutiny. Hong Kong released its rulebook last month.

“There’s been a lot of interest in SPACs in Singapore and investors are generally looking for new asset classes to invest in,” said Stefanie Yuen Thio, joint managing partner at TSMP Law Corp. “Having blue chip names like Temasek’s Vertex launch the inaugural SPAC is also good for the market.”