Donald Trump Needs Cash. DWAC To Vote On Trump Media Merger This Week.

Shareholders of Digital World Acquisition (DWAC), the special purpose acquisition company aiming to take former President Donald Trump’s tech and social-media platform public, are scheduled Friday to vote on the long-awaited merger with Trump Media & Technology Group. DWAC shares surged Wednesday.


DWAC stockholders are currently set to hold a meeting Friday to approve the special purpose acquisition company’s merger with Trump Media, according to federal filings. Meanwhile, Trump is having trouble securing a nearly half a billion dollar bond to appeal his $454 million civil business fraud judgment.

The Miami-based SPAC has a history of postponing and rescheduling shareholder votes.

DWAC aims to take Trump Media and Technology Group (TMTG) public in a reverse merger. Trump Media is the parent of the conservative social-media platform Truth Social. If the merger is completed, the new entity is likely to trade on the Nasdaq under a ticker such as TMTG.

If DWAC shareholders approve the merger Friday, TMTG will be a wholly owned subsidiary of Digital World. DWAC will then change its name to Trump Media & Technology Group, according to regulatory filings. If the merger is completed, Trump’s 90% stake in TMTG could be valued at around $4 billion, based on DWAC’s current stock price.

On Tuesday, Trump posted on Truth Social that he shouldn’t be required to put up the money in his New York fraud case. The former president wrote he “would be forced to mortgage or sell Great Assets, perhaps at Fire Sale prices, and if and when I win the Appeal, they would be gone.”

DWAC stock advanced 20% to 43.72 during Wednesday’s market action. On Tuesday, DWAC shares angled up 2.4% to 36.42.

Truth Social launched after Twitter, now X, shut down Trump’s account following the Jan. 6, 2021, riot at the U.S. Capitol.

In October 2021, Truth Media and DWAC announced their plan to merge. Federal investigations have delayed the proposed merger for years. However, on Feb. 14, DWAC announced the U.S. Securities and Exchange Commission (SEC) proclaimed the merger’s registration statement was effective, approving the proposed combination to go forward.

Trump And DWAC Stock

The Donald Trump brand and the value of DWAC stock are closely related. Trump’s current status as the top Republican candidate for president figures squarely into the stock’s gains so far this year. Federal charges could potentially tarnish that brand, according to company filings, although so far that has not been the case.

Ahead of Wednesday trade DWAC had fallen more than 11% in March, dropping below the 50-day moving average, according to MarketSurge analysis. However, shares are up 128% in 2024 as TMTG appears poised to go public and with Trump looking like he will be the GOP’s presidential nominee.

DWAC stock is down around 79% from its Oct. 22, 2021, high of 175, marked just after news of the Trump merger deal broke.

DWAC stock has a 35 Composite Rating out of a best-possible 99. Shares also have a perfect 99 Relative Strength Rating and an EPS Rating of 2.

Please follow Kit Norton on X, formerly known as Twitter, @KitNorton for more coverage.


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