Capital-hungry smaller Chinese startups are vying for speedy offshore listings by merging with blank-check firms, Reuters reports, at a time when Beijing’s tighter scrutiny has slowed capital raising via overseas IPOs, company executives and bankers said.
The escalating Ukraine crisis, which has heightened market volatility and dampened investors’ risk appetite, however, could cast a shadow over fundraising plans in the near-term.
While Wall Street’s frenzied blank-check deals have slowed in the past year due to mismatches in valuation expectations and some regulators toughening rules, competition is intensifying in Asia due to a large number of unicorn startups in the region. Read more.
