With big ticket startups looking at IPOs, market regulator SEBI is likely to come out with framework on special purpose acquisition companies (SPACs), which will enable these listings on exchanges.
PTI reports quoting sources that SEBI is likely to release SPAC guidelines as early as next week. SPACs or as they are popularly called blank cheque companies are formed to raise capital in an initial public offering (IPO) with the purpose of using the proceeds to identify and merge with a target company.
Sources told PTI that SEBI may put in place a separate set of regulations on SPAC, whereby detailed listing rules would be provided for such firms. including a minimum threshold size for an IPO.