Trump’s Truth Social on Verge of Collapse
Donald Trump’s Truth Social Faces Critical Merger Deadline as Crisis Looms Donald Trump’s Truth Social, launched in October 2021, faces
Tristan Green
Donald Trump’s Truth Social Faces Critical Merger Deadline as Crisis Looms
Donald Trump’s Truth Social, launched in October 2021, faces an uncertain future as its intended merger with Digital World Acquisition, the former president’s pet project post-White House, remains unfulfilled nearly two years later.
The situation has escalated into what The Washington Post has described as a “catastrophic threat” due to the rapidly approaching September 8 deadline. An emergency shareholder meeting has been arranged in a last-ditch effort to secure enough votes, allowing more time for the merger. Failure to garner sufficient support could compel Digital World to liquidate and return $300 million to its shareholders, resulting in Trump’s company receiving nothing from the transaction.
Digital World’s stock, which once peaked at $175, currently trades at just $14 per share. The potential failure of this merger not only poses a financial crisis for Digital World but also adds to the legal challenges faced by Donald Trump. The decisive vote is scheduled for Tuesday, September 5, making it a pivotal moment for both companies as they approach the looming September 8 deadline.