**
The delisting of listed SPACs (Special Purpose Acquisition Companies) has recently caused significant turmoil in the stock market. As of 2025, the merger success rate dropped to 38.5%, a sharp decline from the multi‑year average of about 60%. If a company cannot identify a target within a set period after listing, it is deemed non‑compliant and must proceed with liquidation procedures.
The Stock Exchange and financial authorities have tightened scrutiny, increasing the burden on merger targets to verify their performance and revenue prospects. These measures lower SPAC success rates; meanwhile, more stringent valuation standards for businesses make the value gap between listed and unlisted companies wider. Consequently, stock volatility increases structural pressure, and after a public announcement of a merger, large swings in price can trigger substantial exercise of shareholders’ rights to buy or sell, potentially exceeding SPAC’s initial capital.
There are many examples of failed SPACs. 17‑SPAC, 10‑SPAC, etc., failed to identify a target within one month after listing and entered liquidation; 30‑SPAC, 12‑SPAC, 25‑SPAC also faced similar situations. This trend makes delisting a frequent occurrence in the market over recent years.
There are reports that investment products have been launched to help investors assess such cases. These imply that until a merger is finalized, changes in price and approval procedures can affect transaction terms and timing. A financial investor said, “The tightening of listing reviews and stricter valuation standards has raised the threshold for SPAC mergers,” adding that “the liquidation cases of SPACs that failed to complete mergers are likely to continue.”