Blank-check Digital World Acquisition Corporation, which is seeking a merger with former President Donald Trump’s media venture, said Friday it would avoid imminent liquidation.
digital world failed to obtain shareholder approval Extend the merger agreement by Thursday’s deadline.
However, the shell company said in Friday’s filing that sponsor ARC Global Investments II had deposited approximately $3 million in the company’s trust account to exercise an option to unilaterally extend the merger agreement by three months. He said he was able to buy time for
Had this not happened, the entire deal could have collapsed, forcing Digital World to return the roughly $300 million it had raised. is intended to fund the merger of A liquidation would also threaten an additional $1 billion raised by Trump’s media company.
Digital World is still asking shareholders to support its proposal to extend the merger agreement by one year. The extraordinary general meeting of shareholders has been postponed until October 10.
The controversial merger legal scrutinyBoth the Department of Justice and the Securities and Exchange Commission are investigating.
Digital World said these investigations hindered its ability to complete the transaction, and Digital World CEO Patrick Orlando had pleaded with shareholders to grant an extension to the merger. But Trump posted a message on Truth Social last weekend, suggesting he wasn’t worried about the fate of the deal.
“The SEC is trying to hurt the companies (SPACs) that are doing the fundraising,” Trump wrote. “No need for loans ‘Really rich!’ Someone from a private company ???”
Truth Social is a Twitter-like social network at the heart of Trump media ventures. remains unavailable A Google spokesperson told CNN last week that Google’s Android app has a flaw in the app’s content management system.