Trump SPAC Digital World Acquisition ( NASDAQ: DWAC ), which is taking Trump's social media company and Truth Social app public, fell 1.7% ahead of a Monday noon vote on the company's efforts to go public.
A shareholder vote to extend the time Digital World ( DWAC ) has to complete a deal to take Trump's social media company public by an additional year is scheduled for noon, after it was adjourned a few times last month. The meeting was adjourned because DWAC was unable to get enough shareholders needed to approve the vote.
Digital World ( DWAC ) has struggled to get the necessary 65% of shareholders needed to approve the combination with Trump's media company.
until Dec. 8. be forced to liquidate.Digital World ( DWAC ) shares have plunged 83% since the shares hit a high of $97 in early March. The stock has fallen amid concern about a Elon Musk-led Twitter, as well as worries about several regulatory probes. Investors likely see the possibility that Trump - who had about 80M Twitter followers before he was banned from that platform - could return to Twitter if Musk allows the former president to rejoin.
Trump said in April he wouldn't return to Twitter ( TWTR ) even if Musk reinstated his account. In May, Musk said he would reverse Trump's ban from the platform if the business mogul succeeded in taking over the social media platform with his $44 billion deal.
Last month, DWAC disclosed that it has received termination notices from PIPE investors representing $138.5 million of the $1 billion PIPE investment disclosed in December.
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Trump SPAC Digital World drops ahead of holder vote on deal extension