UAE’s first SPAC – ADC Acquisition Corp. – starts trading on ADX

UAE’s first SPAC – ADC Acquisition Corp. – starts trading on ADX

Dubai: Shares of the first UAE SPAC (Special Purpose Acquisition Company) has started trading on Abu Dhabi Securities exchange. The SPAC was set up by Abu Dhabi investment firm ADQ and Chimera Investment. This follows completion of the IPO from ADC Acquisition Corporation, which launched on May 12 and raised Dh367 million through issuing 36.7 million shares at Dh10 a share. (The offering also included a warrant component.) ADC was established by ADQ and Chimera Investment as a SPAC for the purpose of identifying and acquiring one or more businesses. The plan is to identify scalable businesses with strong management teams. Prior to the IPO, Abu Dhabi became the first in the region to issue specific regulations on the launch and operations of SPACs, which offer an alternative to go to market without all of the processes needed in a regular IPO. The listing of the new SPAC ‘offers target businesses the opportunity to access capital in Abu Dhabi’s capital markets using an alternative method to the conventional IPO,” said a statement. “Additionally, these companies will also benefit from ADQ and Chimera Investment’s vast multi-sector expertise and combined network.” "Not only will ADC strengthen Abu Dhabi’s capital markets, but private