Underwriting of SPAC public issues requires disclosure, deferred commission escrow, and denies underwriters liquidation rights to those funds.

A public issue of specified securities may be underwritten where underwriting arrangements are adequately disclosed in the offer document. At least fifty per cent of the underwriting commission must be deferred until successful completion of the business combination and deposited in an escrow account. On liquidation, the underwriter has no entitlement to the deferred commission held in escrow.

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