Trump-tied SPAC's Rally At Risk As Sponsors Need More Time

 

Trump-tied SPAC's Rally At Risk As Sponsors Need More Time

The blank-check company seeking to take Donald Trump’s media company public sweetened the proposed deal to keep the former president from walking away. Now it needs to make sure rank-and-file investors stick around, too. 

Digital World Acquisition Corp., the special-purpose acquisition company that’s been waiting to take over Trump Media & Technology Group for nearly two years, will ask investors on Thursday to push out the deadline for closing the deal by another 12 months. The blank check said in a filing Wednesday evening that the meeting will be held on Sept. 5 and not Aug. 17 as originally scheduled.

That would be the fifth such extension and potentially give it the time needed to surmount the remaining legal hurdles to buying Trump’s company, whose main asset is Truth Social, the Twitter lookalike he uses to communicate with followers. Shares slipped 3.1% in trading after Wednesday’s close as the delayed-vote filing circulated.

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