Regulatory Alerts2021-01-01
Board of Directors Decision of the Authority No. (164) of 2021 regarding the licensing of venture capital companies to engage in Special Purpose Acquisition Company (SPAC) activity
The Financial Regulatory Authority (FRA) Board of Directors issued Decision No. (164) of 2021, approving the licensing of venture capital companies to operate as Special Purpose Acquisition Companies (SPACs). This authorization is contingent upon adherence to the Capital Market Law and its executive regulations, as well as any forthcoming executive rules issued by the FRA Board in this regard. The decision will be published in the Official Gazette and on the Authority's website, becoming effective the day following its publication.
FINANCIAL REGULATORY AUTHORITY
Chairman of the Authority
Board of Directors Decision of the Authority No. (164) of 2021 dated 2021/10/31 Regarding the licensing of venture capital companies to engage in the activity of Special Purpose Acquisition Companies (SPECIAL PURPOSE ACQUISITION COMPANY «SPAC»)
Board of Directors of the Financial Regulatory Authority
After reviewing the Capital Market Law issued by Law No. (95) of 1992 and its executive regulations; And Law No. (10) of 2009 regulating supervision over non-banking financial markets and instruments; And after the approval of the Authority's Board of Directors at its meeting held on 2021/10/31;
Decided
(Article One)
Venture capital companies may be licensed to engage in the activity of Special Purpose Acquisition Companies (SPECIAL PURPOSE ACQUISITION COMPANY «SPAC»), in accordance with the provisions of the Capital Market Law and its executive regulations, and taking into account the executive rules issued by the Authority's Board of Directors in this regard.
(Article Two)
This decision shall be published in the Official Gazette (Al-Waqae'e Al-Masreya) and on the Authority's website, and shall be effective from the day following its publication date in the Official Gazette.
Chairman of the Board of Directors of the Authority Dr. Mohamed Omran
[Seal of the Financial Regulatory Authority - Office of the Chairman of the Authority]