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Trump urges Digital World shareholders to vote on delay of Truth Social merger


Home and app announcement of “Truth Social”.

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Patrick Orlando, CEO of the publicly-prepared shell company Trump Media and Technology, on Friday urged Donald Trump and Trump Communications CEO Devin Nunes to press ahead with an upcoming vote. coming to extend the merger period for the two companies.

@realDonaldTrump @DevinNunes let’s raise awareness about voting,” Digital World Acquisition Corp. The chief wrote in a Truth Social post that included information about the shareholder vote.

Representatives for DWAC and TMTG did not immediately respond to requests for comment.

DWAC shareholders will vote on October 10 to approve an extension of the merger deadline. A similar vote in September failed to garner 65% of the required investor support. Orlando then injected $2.8 million from his firm Arc Global Investments II into the trust for DWAC, helping it prevent liquidation at this point.

The former president has hinted at canceling the deal to go public and use his money to fund the media venture. “Who knows? In any case, I don’t need the finances, ‘I’m really rich!’ Private company anyone???” Trump wrote in a post on Truth Social in early September.

DWAC is a special purpose acquisition company, or SPAC. These so-called blank check companies find businesses to place on the public stock exchange.

DWAC has until December to finalize its merger with Trump Media and take the former president’s company, giving it access to billions of dollars. A successful shareholder vote will extend the term by approximately one year.

Another key deadline for the deal was passed in September. Private investors that agreed to provide approximately $1 billion post-merger are no longer contractually obligated to provide that capital. DWAC reported last week that $138 million in private investment had been withdrawn.

These are not the only problems facing DWAC and Trump Media. The two companies are the subject of an investigation by the Ministry of Justice about possible securities violations related to conversations that occurred between representatives of the company prior to the merger. The Securities and Exchange Commission is also investigating the deal.

Trump Media has said that it was explore legal proceedings against the SECsaid the regulator had delayed the merger.

The former president is also the subject of numerous investigations of his own. New York Attorney General Letitia James recently announced civil proceedings against him, the Trump Organization, and his three adult children for fraud. He is also being investigated for his actions in connection with the removal of sensitive documents from the White House, for allegedly interfering in the 2020 presidential election, and for his role in the uprising. of the Capitol on January 6, 2021.

Trump launched Truth Social and Trump Media after he was banned from using Twitter and other social media platforms in the wake of riots, when hundreds of his supporters stormed Congress in a failed attempt to stop lawmakers. Legislature confirms Joe Biden’s victory in the 2020 election.

DWAC closed 3% higher at $16.81, but far from the 2022 high of around $97.

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