16 September 2021
Are Netherlands and Luxembourg taking over as the European hubs for SPACs?
For over 20 years, Real Deals have been the independent voice of European private equity, providing essential market intelligence, deal information and insight to Europe’s leading private equity firms, their LPs, lawyers, advisers and other service providers. Through its various print and online platforms, Real Deals reaches out to over 44,000 readers across the world who have a keen interest in the UK and European PE space.
SPACs, which allow investors to pool resources in a public investment vehicle with the intent to acquire existing businesses, are far from being a new concept. However, they have recently become one of the hottest market trends in the private equity space. Globally, SPACs have raised nearly US$100bn from IPOs in the first quarter of 2021, already surpassing all of 2020, according to financial data provider Refinitiv. In the US alone, SPACs represented about 60 per cent of all IPOs in 2020.
While Europe took a bit more time to jump onto the SPAC bandwagon, it is now actively following suit with jurisdictions like Netherlands and Luxembourg leading the way for the domiciliation of SPAC structures. To illustrate the growing popularity of SPACs in these jurisdictions in the recent past, Amsterdam has set up six SPACs since the start of 2021 and Luxembourg has set up three SPACs over the same period.
This webinar will discuss the rising popularity of SPACs in Europe and the features that are enabling the Netherlands and Luxembourg to quickly become domiciles of choice for SPACs in the continent.
- Talya Misiri, Editor at Real Deals [Host/moderator]
- Annefleur van Oel at NautaDutilh
- Pascal Rapallino, Group Investment Structure Leader at IQ EQ
- Emma Causevic, Director Corporates at IQ EQ
- Arnaud Delestienne, Director of International Capital Markets at the Luxembourg Stock exchange (LuxSE), Member of the Executive Committee
- Why are SPACs gaining traction in Europe?
- What are the differences in US and European listing rules that make US exchanges more SPAC-friendly?
- Why are SPACs being used increasingly as funding structures by PE firms?
- How can Luxembourg and Netherlands be used as domiciles for SPACs and how can the passport mechanism set forth in the Prospectus Regulation be used to list these vehicles on the Paris or Frankfurt Stock Exchange? What other features make the countries attractive?
- Will the reforms undertaken by the London Stock Exchange around SPACs make London the preferred domicile for SPACs?
- Is the growing popularity of SPACs simply a bubble waiting to burst, or is the trend here to stay?