SEC Advisory Committee Readies Plan to Beef Up SPAC Disclosures (1)

Aug. 26, 2021, 8:19 PMUpdated: Aug. 26, 2021, 9:39 PM

A Securities and Exchange Commission advisory panel is expected to prod the agency to ensure that SPAC sponsors more clearly describe their roles and financial interests to investors.

The push to boost disclosures for special purpose acquisition companies will be the focus of several non-binding recommendations at the SEC’s Investor Advisory Committee meeting scheduled for Sept. 9. The panel released a draft of its recommendations Thursday.

SEC officials have said they’re looking closely at SPACs, which have boomed in popularity since 2020. Unlike traditional initial public offerings, SPACs provide a relatively quick path to the stock market, with less oversight. ...

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