China Approves VIE-Structured Startup CheChe’s US SPAC Merger

China’s securities regulator approved the US listing of CheChe Technology Inc. through a merger with a blank-check company, marking the latest Chinese company with a so-called variable interest entity structure to move ahead with an overseas listing.

The Chinese Securities Regulatory Commission gave the online auto insurance platform the green light to combine with Prime Impact Acquisition I, according to a filing by the special purpose acquisition company on Thursday. The proposed merger was first announced in January.

The approval comes as China vows support for private companies’ fundraising plans, as part of its effort to revitalize the economy. ...