Digital World Acquisition Corp. (NASDAQ:DWAC) has decided to push back its extension vote originally scheduled for today to 10 am ET September 5 as it works through several changes to the initial deal.
Last week, the SPAC filed an update to its proposed combination with Trump Media & Technology Group (TMTG) that set up several new deadlines for the two sides to get through as it works to get the deal over the finish line.
First up, TMTG needs to provide updated financials to the SPAC and both will be working to re-negotiate the deal’s PIPE with investors. The deadline set for each of these processes is August 31, so all sides should have a better idea of where things sit before voting on an extension under this new date.
But, the new date also leaves little wiggle room for drumming up participation from retail investors who may own more than 90% of the SPACs public float. Digital World’s current transaction deadline sits at just three days after the new meeting date on September 8, and the last time it needed to get enough votes for an extension it took six adjournments to do so.
Digital World CEO Eric Swider said in its press release on the postponement that “Our SPAC is at a defining crossroads”, and it certainly will be a busy couple of months to complete the myriad tasks the team as set for itself, even with this extension secured.
The two sides initially announced their deal to take Donald Trump’s new social platform and media company public back in October 2021. They recently agreed to pay an $18 million fine as a part of an SEC investigation, but Trump’s legal challenges outside of the transaction have only ramped up since.
The extension on the ballot for Digital World would allow it to extend the deadline by three months up to four times until September 8, 2024, without needing to call an additional vote.
At the SPAC of Dawn September’s busy, but short, first week is set to keep rolling with three completion votes by Achari I (OTC:AVHI), Nova Vision (NASDAQ:NOVV) and Focus Impact (NASDAQ:FIAC) this week. All three of these have been postponed at least once, and could do so again, but Focus Impact has its transaction deadline...
Terms Tracker for the Week Ending September 6, 2024 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. It was a short holiday week and while it was light on filings, SPACs did manage to price two IPOs. That means 2024 has now...
Compass Digital (NASDAQ:CDAQ) has entered into a definitive agreement to combine with renewable energy firm EEW at a pro forma enterprise value of $386 million. London-based EEW is a solar, hydrogen and energy storage project developer with 1.4 GW of solar projects sold to date in Australia, the UK, Spain, and Sweden. The combined company...
Evergreen (NASDAQ:EVGR) has entered into a definitive agreement to combine with enterprise software firm Forekast at a pre-money enterprise value of $105 million. The company provides data analytics and customer engagement tools backed by some degree of AI automation to improve efficiencies for its business clients. The combined company is expected to trade on the...
At the SPAC of Dawn The auto-reply messages are off. SPACs are definitively back from vacation and in the thick of it. Two new SPACs are set to debut in trading today in Vine Hill (NASDAQ:VCICU) and Andretti II (NASDAQ:POLEU) and two SPACs have also landed their search on new targets, which could pull a...