Staff Reports
Investors have given Trump Media & Technology Group, a media business started by Donald Trump, more time to go public. This could save the company as much as $300 million. The company of the former president and Digital World Acquisition Corp. are going to join. The company in charge of the merger has until September 2024 to finish the process and list the new company on Nasdaq. This is the second time they've been given more time, so it's clear that Trump's media company is facing some problems.
Trump media company set to save $300 million after investors approve Tuesday extension https://t.co/6lxponJyop
— Washington Examiner (@dcexaminer) September 6, 2023
This extension was approved by more than 65% of the venture's partners, which is great news for Trump. If the deal had ended without the extension, Digital World would have had to give the $300 million back to its owners. People, that's a lot of money!
Eric Swider, the CEO of Digital World, thanked everyone on Truth Social after the vote, but he also told them that they aren't out of the woods yet. "Please understand why I'm not talking. We keep our attention on the job at hand and watch what we say," he said. It sounds like they don't want to take any risks and are being extra careful to make this deal happen.
It's important to know that Trump Media runs Truth Social, which is the social media site that Trump chooses now that he's been kicked off Twitter. After settling charges with the Securities and Exchange Commission, the company is more motivated than ever to make this merger happen. The SEC said that they told investors false information about their talks with Trump Media. Oops!
The plans to join were made public in October 2021, and things have been rough since then. But it looks like both sides want it to work because they've made changes to the structure of the new company. One of the changes gives Trump even more power by giving him the right to vote on 55% of the stock. Trump makes it clear that he wants to be in charge, and he isn't afraid to say so.
But Digital World still needs to do some work. They have to make changes to their government filings by October 9, and if they don't, Trump Media can back out of the merger. So, it's not set in stone yet, but Trump is hoping for the best. Let's see if this merger goes through or if it's just another failed try by Trump in his life after he leaves office.
