Upon the completion of the deal, TMTG, which operates the Truth Social social media app, will become a public company trading on the Nasdaq under the ticker symbols "DJT" and "DJTWW’’
DWAC secures approval from shareholders for the merger with Truth Social’s holding company TMTG. (Credit: Gage Skidmore from Peoria, AZ, United States of America/Wikimedia Commons)
Digital World Acquisition (DWAC) has secured approval from its shareholders for the previously announced merger with Truth Social’s holding company Trump Media & Technology Group (TMTG), which was founded by former US President Donald Trump.
The merger deal is currently worth around $5.7bn, reported Reuters.
Initially announced in October 2021, the deal with the special acquisition company (SPAC) at that time had valued Truth Social at up to $1.7bn.
Launched in February 2022, Truth Social is a social media app described by TMTG as a safe platform for free expression “amid increasingly harsh censorship by Big Tech corporations.’’
TMTG CEO Devin Nunes said: “This accomplishment shows the unshakeable commitment of Digital World, its investors, and the entire Truth Social workforce to creating a movement to defend free expression on the Internet.
“As we transition into a public company, we look forward to greatly enhancing and expanding Truth Social and providing Americans with an enduring safe harbour from Big Tech’s stifling censorship and suppression.”
According to the Nasdaq-listed DWAC, the vast majority of its shareholders voted in favour of the proposed business combination.
Upon the completion of the deal, TMTG will become a public company trading on the Nasdaq under the ticker symbols “DJT” and “DJTWW.”
The company will continue as a surviving corporation and a fully owned subsidiary of DWAC.
DWAC CEO Eric Swider said: “This vote underscores their confidence in the merger with TMTG and the path we have set for the future. With many of our headwinds behind us, we look forward to working with TMTG and our dedicated team to close this merger.
“It’s exactly one year after my appointment as the CEO of Digital World, and this milestone not only reflects the progress we’ve made but also reaffirms our commitment to this strategic direction.”
Paul Hastings served as legal counsel to DWAC while Nelson Mullins Riley & Scarborough acted as legal counsel to TMTG.