Citigroup is among underwriters that have temporarily paused initial public offerings of new U.S. SPACs until they get more clarity on the potential legal risks posed by recently proposed rules, Bloomberg reports, citing people with knowledge of the matter.
The New York-based bank is awaiting feedback from legal advisers regarding underwriter liability among other topics, said the people, who requested anonymity because the bank’s decision isn’t public. The firm has no plans to exit the business. Read more.
