Trump SPAC Suspends Shareholder Meetings Until Oct. 10

The development is the latest in a series of delay tactics by Digital World Acquisition Corp. as a shell company struggling to get shareholder approval to extend Thursday’s deadline for a merger agreement. .

Digital World has warned of possible liquidation if at least 65% of shareholders do not support extending the merger agreement by the end of Thursday.

At a virtual shareholder meeting on Thursday night, Digital World CEO Patrick Orlando said the postponement until October 10 would provide “additional time for shareholders, whether small, medium or large, to vote. We will provide the

Orlando added that the SPAC (Special Purpose Acquisition Company) will make a “significant press announcement shortly” to provide additional information.

Digital World has warned that shareholders may be forced into liquidation if they do not extend the deadline, but blank check companies may avoid liquidation.

Digital World said in a filing this week that sponsor Arc Global Investments II will exercise an option to unilaterally extend the merger deadline by three months. In that case, the sponsor must deposit approximately $3 million into a trust account.

Digital World Acquisition Corp., which has previously explored a merger with Trump Media & Technology Group, owner of Truth Social, said: was giving to shareholders until the end of Tuesday Vote on whether to extend the merger agreement, giving you more time to complete the transaction.
But on Tuesday, the company kicked the can.of Submissions to the Securities and Exchange CommissionDigital World said it had postponed its shareholder meeting to Thursday, Sept. 8, to “provide additional time” for approval from investors.
The Trump SPAC is an expert red flagLegal scrutiny includes investigations from both the Department of Justice and the SEC.

Digital World said these investigations impeded its ability to complete the transaction.

Source: www.cnn.com

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