Digital World Acquisition (NASDAQ:DWAC) stock is in the news Thursday as the company delays a key shareholder meeting until Sept. 5.
That shareholder meeting has the special purpose acquisition company (SPAC) seeking to extend its merger deadline for Truth Social’s parent company, former President Donald Trump’s Trump Media & Technology Group.
Digital World has been attempting to take TMTG public for almost two years now. However, the company has continued to struggle with legal issues that keep a merger from happening.
It has reached a point where Digital World Acquisition is seeking to offer more benefits, such as an exclusive class of shares. All of this is being done in an effort to keep Trump in favor of the deal following the turbulence.
What This Deal Means for DWAC Stock
Digital World needs this deal to go through. If it doesn’t, the company will have to return the $300 million it raised from investors. That would be a major blow to the SPAC. This is why it wants to extend the merger deadline again.
All of these delays have already been weighing on DWAC stock. The company’s shares have fallen 50% over the past 12 months. That’s despite the stock seeing massive rallies in 2022. As for Thursday morning, shares of DWAC stock are down about 9%.
Investors that want to know more about all of the latest stock market news will want to keep reading!
We have breakdowns of all the biggest stock market stories traders need to know about on Thursday! A few worth reading up on are Mullen Automotive (NASDAQ:MULN) announcing a stock buyback, what has cannabis stocks up today, as well as the latest news concerning Ideanomics (NASDAQ:IDEX) stock. All of that news is ready to go at the links below!
More Stock Market News for Thursday
- MULN Stock Alert: Mullen Launches Stock Buyback Program
- Why Are Cannabis Stocks Up Today?
- IDEX Stock Alert: Ideanomics Receives Non-Compliance Notice
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.