Digital World Acquisition in a supplemental proxy filing urges shareholders to vote by Sept. 5 on a proposal to extend the SPAC’s deal deadline by another year, which would presumably be enough time to close on the long-gestating merger with Trump Media & Technology Group.
The supplemental proxy features bold text, often in all-caps or underlined for emphasis, and includes phrases such as “DO NOT THROW THIS AWAY” and “URGENT!”
The SPAC’s last extension, approved by shareholder vote in November last year, cleared only after six adjournments. Much of the blame for the delay was laid at the feet of the SPAC’s retail investors, with Digital World saying at the time in regulatory filings that it is often difficult to engage retail investors to vote on procedural matters.
But with the SPAC due to expire Sept. 8 without another extension, the latest proxy filing clearly seeks to convey the urgency of the situation.
Digital World announced the deal with the former president’s media company almost two years ago. Since then the SPAC has seen the exodus of some of its PIPE investors, the firing of its first CEO, key executive and board departures, delinquent Nasdaq fees, an SEC investigation that led to accusations of misleading investors and an $18 million settlement the SPAC must pay if the deal ever closes, the abrupt resignation of its auditor — and a rejiggering of the deal terms earlier this month principally for the financial benefit of Trump. Read more.
