This photo illustration shows an image of former President Donald Trump next to a phone screen displaying the Truth Social app in Washington, DC, on February 21, 2022.
Stefani Reynolds | AFP | Getty Images
Shares of Digital World Acquisition Corp. rose 16% on Thursday after the special purpose acquisition company announced Wednesday evening that it is nearing completion of its planned merger with Trump Media and Technology Group, former President Donald Trump’s social media company.
The Securities and Exchange Commission declared the registration statement for DWAC’s merger with Trump’s media group effective after the market closed on Wednesday.
DWAC said it will announce a date this week for shareholders to vote on the merger, given the approval of the Form S-4.
“We are extremely proud of the progress we have made in advancing the business combination…This achievement represents a significant milestone for us,” said Eric Swider, CEO of DWAC, in a press release.
This SPAC first began merger talks with Trump’s media group, which operates the Truth Social platform, in October 2021.
However, the proposed merger was pushed back several times due to challenges that included investigations by the Justice Department and the SEC.
Last June, Florida investor Michael Shvartsman and two other men were charged in federal court in New York with insider trading in connection with the merger.
Shvartsman was hit last week by a new case of money laundering related to transfers he allegedly made after making an $18.2 million profit from the sale of DWAC shares. He and the other defendants have pleaded not guilty.
DWAC shares have risen in recent months as Trump has emerged as the likely Republican nominee for president in November.
The stock is up nearly 200% since the start of the year.
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2024-02-15 21:07:48
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