Trump-Tied SPAC Drops Amid Uncertainty Over Deal Closure
- Digital World Acquisition falls 11% to lowest since October
- SPAC adjourns meeting to Sept. 8 as it courts retail holders
Photographer: Kirill Kudryavtsev/AFP/Getty Images
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Investors dumped shares of Digital World Acquisition Corp., the blank-check firm set to merge with Donald Trump’s social media company, after executives deferred a shareholder vote that was meant to get an extension to complete the deal -- signaling uncertainty surrounding the sponsors’ ability to get enough support.
Executives at the special purpose acquisition company adjourned the meeting to extend the deadline by up to a year until Thursday in an attempt to court retail shareholders to vote, a group that historically misses out on such events. The SPAC needs 65% of shareholders to support the extension.