Digital World Acquisition Corp (DWAC) shares are spiking as much as 32% to $23.08 on Monday’s premarket. This is coming after news arrived over the weekend that Donald Trump was nearing the announcement of a new run for president.
DWAC which is the parent company of Donald Trump’s Truth Social app has also had its merger with the special purpose acquisition company (SPAC) postponed. The stakeholders’ meeting has been moved from November 3 to November 22.
Meanwhile, the market met the rescheduling with great fanfare on Friday but it seems Donald Trump’s possible presidential run is garnering even more excitement. Shareholders expect this to drive more traffic to the Truth Social app.
DWAC needs 65% of its shareholders to vote in favor of extending the deal for another year, up until September 8, 2023, to be precise. Back in September when the initial vote was scheduled, the SPAC only had 43% of shareholders voting in favor.
The company now has more time available to pick up necessary proxy votes to extend the merger timeline.