FCA slashes SPAC capital raise requirement in confirmation of new rules

Host of new investor protection rules

Mike Sheen
clock • 3 min read

The Financial Conduct Authority (FCA) has revealed its final rules designed to encourage the UK listing of SPACs, while strengthening investor protection, with the regulator halving the minimum fund raise requirement to just £100m.

Lord Hill's 3 March Listing Review recommendations saw the FCA begin work on investor protection standards ahead of changes, which are designed to grow the number of listed equity opportunities available in the UK and included liberalising listing rules for SPACs.   The new rules and guidance, which come into force on 10 August, follow a boom in SPAC activity in 2021, particularly in the first quarter of the year. The full-year annual record of 256 SPAC IPOs set in 2020 was surpassed early in the year, with 258 launched by 11 March, according to Refinitiv research.  In April, the FCA ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on Equities