According to the Hong Kong Stock Exchange, A SPAC (HK) ACQUISITION CORP. Submitted its listing application. The SPAC (Special purpose acquisition) company is sponsored by A SPAC (Asia) Holdings Corp., De Oro Strategics Limited and Huitong Wynn, while 00279.HK indirectly controls De Oro Strategics Limited.
It is worth noting that Yucheng Kejin is controlled by Zheng Zhigang, a young marshal of the Cheng family, one of the four families in Hong Kong. He is the incumbent$New World Development (00017.HK) $Executive vice chairman and chief executive officer. Companies he is involved in managing include New World Development, New World China Real Estate,New World Department Store China (00825.HK) $、$Chow Tai Fook Jewellery (01929.HK) $And international entertainment.
According to the prospectus, A SPAC (Asia) Holdings Corp., De Oro and Huitong Wynn hold about 73.25%, 16.05% and 10.70% of the company's Class B shares, respectively.
A SPAC (HK) ACQUISITION CORP.'s preferred acquisition is aimed at companies in the consumer industry, particularly in mainland China and Hong Kong, which the company believes will complement the expertise of its management team.
A SPAC (Asia) Holdings Corp. Is controlled by a company called A SPAC (Holdings) Group Corp., which is 50 per cent owned by Zeng Sixi and she Shiying. Zeng Sixian is the sole director of A SPAC Holdings and serves as the executive director and chief executive of the company, while she Shiying is the investment director of A SPAC Holdings.
Mr Zeng has a 15-year career at Templeton and specific private equity investment experience in the consumer sector in Asia, particularly in China and Hong Kong. Templeton is a large international investment institution with more than $1.4 trillion in assets under management.
The prospectus points out that Zeng thinking will bring the company an advantage in finding high-quality M & A targets in the target industry.
Yucheng Kejin Group is mainly engaged in a wide range of areas of the financial services industry (including securities and futures brokerage, placing and underwriting, corporate consulting, margin financing, asset management, insurance brokerage and financial planning). Zheng Zhigang indirectly holds 75% interest. De Oro is indirectly wholly owned by Yucheng Kejin.
According to the prospectus, it is believed that Yucheng Kejin and De Oro, as sponsors, will give the company a clear advantage in raising funds and in identifying, organizing and completing mergers and acquisitions of special purpose companies. De Oro's investment in the SPAC company will be managed by Yucheng's management team of people with extensive experience in corporate finance and investment management in various industries.
Huitong Wynn is a family office with category 4 and 9 licences in Hong Kong. From 2019 to 2021, Huitong Wynn managed assets of more than HK $6 billion a year. Investment types include equity, fixed income and alternative investments and other assets.
Huitong Wynn's assets under management grew at a compound annual rate of 12.2% from 2011 to 2021. From October 2020 to September 2021, the investment income of Huitong Wynn's top 10 discretionary accounts (about HK $2.8 billion) achieved a weighted average return of 3.86 per cent, while the Hang Seng index rose less than 1 per cent over the same period. The controller of SPAC once thought to be the person in charge of Huitong Wynn.
According to the prospectus, Huitong Wynn's extensive network of relationships with private investment banks will help the company obtain potential M & A targets, as private banks regularly provide a variety of direct investment and private equity investment opportunities.
KPMG China Capital Markets Advisory Group partners believe that despite the volatility of market conditions in the first quarter, it is believed that the system can still give impetus to the Hong Kong market when future SPAC mergers and acquisitions take place. It is believed that the new system will provide issuers and investors with more comprehensive financing options and investment opportunities, thereby enhancing Hong Kong's competitiveness.