Fees related to special purpose acquisition company (SPAC)
1. Introduction to SPAC
Special Purpose Acquisition Company(SPAC), also known as a "blank check company," is a special form of listing on the U.S. stock market.
The sponsor establishes a SPAC shell to go public first in order to raise funds from investors to acquire an underlying company within a limited time (typically 24 months) so that it can quickly become a U.S. listed company.
The SPAC is a new "shell company" with only cash and no actual business, serving only as a listing platform. The target company can be listed by merging with SPAC and obtain SPAC funds.
2. Fees related to Special Purpose Acquisition Company(SPAC)
According to the entire operation process of SPAC, five categories of fees are set up:
| Type | Fees | Notes |
|
Unit splitting (Involuntary corporate action) |
Free | —— |
| Unit splitting (Voluntary application) |
400$ per ticker | —— |
| SPAC redeeming (Voluntary application) |
200$ per ticker | 1. Typically, the redemption date is two days prior to the meeting date. Please submit a ticker no later than 12 noon 2 days prior to the redemption date. For example, if the redemption date is July 5, please submit before 12 noon on July 3. 2. The redemption payment is typically paid to the account within 1 -3 weeks. |
| Ticker change after merger (Involuntary corporate action) |
Free | —— |
| Warrants exercising (Voluntary application) |
Free | 1. Agree to the terms of the exercise as well as by stating if you wish to exercise this as a cash or cashless exercise (if applicable). 2. Warrants must be settled in order to submit them for exercise. Holders must ensure their account has proper funding, as the exercise price will be debited from the account upon processing. |
Involuntary corporate action: Non-client voluntary application behavior. It can be operated in batches by SPAC company.
*Fees may change if clearing system migration is involved.
3. How to apply
If you want to perform certain operation, please send the following information to cs@futuhk.com for application:
