The SPAC linked to Trump’s media company fails to get the votes, further delays the meeting for the vote, according to the Bloomberg agency.
Digital World Acquisition (DWAC) said it will delay the shareholder vote again, this time to November 22, for a free extension of the deadline. So this is the sixth postponement in the last two months.
It’s the latest example that Trump’s loyal following of retail investors don’t understand the importance of voting.
The faltering push to give SPAC until next September to complete the merger could save financier Patrick Orlando and Digital World sponsors millions of dollars and ease the headache of persecuted investors who have proven unresponsive to e- emails, messages and calls begging them to vote.
The group can continue voting until December 8, when it will have to choose between paying an additional $ 2.9 million for a three-month extension or throwing in the towel.
The stock (DWAC) is trading around $ 6.15 more than the $ 10.20 in cash it would receive if the merger went to wind.
That means the hordes of small investors who cling to stocks either don’t understand how to vote or don’t pay attention, says Jay Ritter, a professor of finance at the University of Florida.
Trump Media’s goal of competing with the likes of Facebook hinges on the success of Truth Social, which for the moment is not achieving the desired popularity. Truth Social was added to the Google App Store last month as long as it meets the content moderation and objectionable post removal requirements.