The Stock Exchange affiliated to the Hong Kong Stock Exchange (00388.HK) announced the establishment of a new SPAC listing mechanism in Hong Kong, which will take effect on January 1, 2022. Liu Dachang, partner of KPMG China Capital Markets Advisory Group, pointed out that HKEx quickly adjusted the details of the SPAC listing mechanism on the premise of safeguarding market quality and investors' rights and interests in response to the views of different stakeholders in the market, and its efficiency and direction are commendable.

Liu Dachang said that no longer requiring voting rights to be consistent with share redemption rights, relaxing the threshold for institutional professional investors, and lowering the step-by-step share requirements for independent PIPE investment, have greatly enhanced the flexibility and attractiveness of Hong Kong's SPAC listing mechanism and helped to promote the development of Hong Kong's capital market.