Digital World Acquisition Corp. (NASDAQ:DWAC) shares have risen by almost 130% year-to-date amid the intensifying White House race. Following Donald Trump’s Republican presidential nomination, DWAC, also known as Trump-SPAC, is set to remain in the spotlight. In a report by the Washington Post, the ex-President approached Elon Musk last year regarding the potential acquisition of Truth Social.
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Trump Media & Technology Group (TMTG) owns Truth Social, Trump’s social media platform. The platform is going public via a deal with DWAC, but the transaction has faced significant delays.
Musk, who already owns X (formerly Twitter), passed on the offer for Truth Social. The Tesla (NASDAQ:TSLA) CEO recently noted that he was not donating funds to either of the presidential candidates.
SEC Approval & Legal Battles
Last month, the SEC gave a go-ahead for DWAC’s merger with TMTG. A shareholder vote on the merger is set for later this month (March 22). At present, Trump is entangled in costly legal battles. Even if the DWAC-TMTG deal goes through, Trump may have to wait for quite some time (until the lockup period expires) before he can raise funds by disposing of some or all of his stake in the company.
What Is the Forecast for DWAC Stock?
With the U.S. set for its first presidential rematch in nearly seven decades, DWAC shares are sure to stay in focus this year. DWAC stock has jumped by nearly 204% over the past year. While analyst coverage on Digital World remains limited at present, the TipRanks Technical Analysis tool is flashing a Strong Buy signal on the stock.
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