Vote to delay Trump Media merger with Digital World Acquisition Corp postponed for another three weeks

by | Oct 10, 2022 | Business

The former US President announced his intention to create a new social media platform after he was banned from Facebook and Twitter last year.Leon Neal | Getty ImagesDigital World Acquisition Corp., the shell company set to take Trump Media and Technology Group public, on Monday again adjourned an important shareholder meeting, this time until early next month.┬áThe Monday meeting was supposed to announce the results of a shareholder vote to extend the deadline for the merger with Trump Media by about a year. DWAC needs 65% of its investors to approve the extension. The meeting will now take place at 10 a.m. ET on Nov. 3.Shares of DWAC closed down more than 7% on Monday.This is the fourth time CEO Patrick Orlando has used his executive power to adjourn and delay the meeting. The previous adjournments occurred in September, around when Reuters reported that DWAC lacked the necessary shareholder support to approve the extension.With $1 billion in financing already at risk, DWAC needs 65% of its shareholders to approve the extension for the merger with Trump Media beyond the current deadline of Dec. 8. The special-purpose acquisition company has previously warned that a failure to extend the deadline could force it to liquidate.The company is also dealing with the fallout from a Trump Media executive’s whistleblower complaint to federal regulators. A senior vice president at Trump Media, William Wilkerson, filed a whistleblower complaint alleging securities violations in August. Wilkerson, who describes himself as one of the founders of the company, no longer believes in its viability.”One way or another, this company is going to go bankrupt,” Wilkerson told the Miami Herald. “I don’t think the company is going to be approved by the SEC.”Trump Media and DWAC didn’t immediately respond to requests for comment about the whistleblower.The stakes of Monday’s vote are particularly high for some of the former president’s fans, who shared on Truth Social and Reddit that they’ve invested thousands of dollars in DWAC as a show …

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