Singapore-based online classifieds platform Carousell is said to be in talks to go public through a merger with blank-check company L Catterton Asia Acquisition Corp, Bloomberg reported, quoting people familiar with the matter.

A transaction could value the combined entity at as much as $1.5 billion, the people reportedly said. Carousell has entered into exclusive talks with the special purpose acquisition company, they added.

According to the report, the SPAC plans to carry out due diligence on Carousell in the coming weeks, aiming to reach a merger agreement as early as this quarter, the people were quoted as saying. The deal may also include a private investment in public equity (PIPE) worth “a few hundred million dollars”.

Considerations are ongoing and there’s no certainty the talks will result in a deal, the people said. Details such as timing and valuation could change, they reportedly said.

The US-listed SPAC is backed by L Catterton, the $30 billion buyout firm minority-owned by French luxury goods company LVMH Moet Hennessy Louis Vuitton SE and billionaire Bernard Arnault’s investment firm.

Led by L Catterton Asia managing partners Chinta Bhagat and Scott Chen, the SPAC raised $250 million last year to target companies in the high-growth, consumer technology sectors across Asia. It is sponsored by L Catterton Asia’s $1.45 billion third fund, according to the report.

When contacted, both Carousell and L Catterton declined to comment.

Founded in 2012, Carousell counts Telenor Group, Rakuten Ventures, Naver, and Sequoia Capital India among its backers. Carousell platform facilitates users to buy and sell products from gadgets, fashion accessories and cars. It has since expanded to eight markets across Southeast Asia, Taiwan, and Hong Kong. It operates several online marketplaces including Carousell, in Vietnam, Mudah in Malaysia and OneKyat in Myanmar.

Carousell has reached unicorn status in September last year when it announced that it has secured an investment of $100 million in a funding round led by Korean private equity firm STIC Investments. This also marks a significant milestone that will bring Carousell’s valuation to $1.1 billion, the company said then.

Carousell has been exploring a US listing via a SPAC deal, Bloomberg reported in June. Should the transaction comes to fruition, Carousell could be joining other firms in the city-state.

Singapore-headquartered ride-hailing giant Grab Holdings Ltd and Altimeter Growth Corp have completed one of the largest SPAC deals ever in December last year. Singapore’s online real estate platform PropertyGuru also agreed to go public through a merger with Bridgetown 2 Holdings Ltd, the blank-check firm backed by billionaires Richard Li and Peter Thiel, according to a report in July.

SPACs have become a popular IPO alternative for firms looking to go public with lesser regulatory scrutiny.

Singapore online marketplace Carousell becomes Southeast Asia’s latest unicorn after raising $100M