Investors in the blank-check company that plans to merge with former U.S. President Donald Trump’s social media firm voted today to give the SPAC an extension of up to one year to complete the deal.
After a number of delays, enough shareholders agreed to give Digital World up to an additional 12 months to finalize its plans with Trump Media & Technology Group, a person familiar with the vote reportedly told Reuters.
Digital World needed to get 65% of its roughly 400,000 shareholders to vote in favor of the extension.
The deal was announced in October 2021. The last deadline extension was approved in November 2022.
Time was running out for Digital World ahead of a Sept. 8 deadline when the corporate charter would require the company to liquidate and return to current shareholders the $300 million it raised in its initial public offering in 2021 if the extension was not approved.
Digital World’s stock traded at $16.77 on Tuesday, up 1.6% on the day but down from its peak of around $97 a share in March, 2022. Read more.
