UK, Brexit, and SPACS: the promise of a shell-company revolution

SPACs (special purpose acquisition companies) are shell companies set up with a special purpose: to conduct an acquisition. The UK would like to position itself as the new, sophisticated jurisdiction for accommodating SPAC sponsors’ and investors’ needs. However, SPACs entail risks, like any other investment. Daniele D’Alvia writes that if those risks are contained through proper contractual risk allocation and enhanced governance, the UK can become the new “SPAC hub” in Europe.