Chapter 18C SPAC Listings in Hong Kong: Rules and Market Reception

Hong Kong introduced its SPAC (Special Purpose Acquisition Company) listing regime under Chapter 18C of the Listing Rules, effective January 2022. The HKEX framework differs materially from the US SPAC model in ways that reflect the exchange’s emphasis on investor protection over market speed. Key features include: only Professional Investors (PIs) may subscribe for SPAC shares and warrants at IPO; the SPAC must raise at least HK$1 billion; the de-SPAC target must meet the same listing requirements as a traditional IPO applicant; and the de-SPAC transaction must include independent third-party PIPE investment. As of mid-2025, five SPACs have listed in Hong Kong, with three completing de-SPAC transactions. The pipeline remains modest compared to the brief US SPAC boom of 2020-2021, reflecting both the tighter regulatory structure and the cooling of global SPAC sentiment.