(DWAC) – Why Trump SPAC Partner DWAC's Shares Are Plummeting Today

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Shares of Digital World Acquisition Corp. DWAC are tumbling in premarket trading on Tuesday.

Shareholders have rejected the special purpose acquisition company’s proposal to extend by a year the deadline for its merger with former President Donald Trump’s Trump Media & Technology, which operates the Truth Social platform, Reuters reported.

When the votes garnered until Monday were tallied, it appears that Digital World may not succeed in getting the 65% threshold required to implement the proposal, the report noted, citing sources. The company is toying with a couple of options in the eventuality of a majority ‘no vote.’ including extending the voting deadline or unilaterally going ahead with a six-month extension.

The extension sought would help the company get SEC approval for the proposed combination.

In premarket trading on Tuesday, DWAC shares are plummeting 20.77% to $19.80, according to Benzinga Pro data.

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Image and article originally from www.benzinga.com. Read the original article here.