Digital World rises ahead of vote on merger with Trump's media firm

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PC party leader attends the protest in support of fishermen | SaltWire #newsupdate #newfoundland - Shares of Digital World Acquisition Corp rose 3.2% in premarket trading on Friday ahead of shareholders' vote to approve the blank check firm's merger with former U.S. President Donald Trump's media and technology company.

The U.S. Securities and Exchange Commission in February allowed the merger after more than two years of setbacks to Republican presidential candidate's Trump Media & Technology Group - the parent of his social media firm Truth Social - to complete a stock market listing.The vote, which begins at 10:00 a.m. ET , would be the final step in completing the merger that would value TMTG at as much as $8.6 billion. The merger was first announced in 2021.

The shell vehicle's stock has surged 144% since the beginning of this year as Trump tightened his grip on the Republican nomination for president, raising bets that his re-emergence as a political figure would make Trust Social more valuable. Digital World, however, said in a regulatory filing last month that Trump may divest his stake in Truth Social and cease any involvement in its management based on how his bid for president goes.

Digital World has also faced several hurdles in its bid to complete the merger. It has been a target of investigations by the U.S. Department of Justice and the Securities and Exchange Commission .

 

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