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SPAC Stock Shoots Up As Donald Trump Announces 2024 Presidential Run

Benzinga · 11/16/2022 06:32

Shares of special purpose acquisition company Digital World Acquisition Corp. (NASDAQ:DWAC) shares were advancing in premarket trading on Wednesday.

The gains come amid former President Donald Trump officially confirming that he would run for office in 2024. He made an announcement to this effect from his Mar-a-Lago residence that was live-streamed on the video streaming platform Rumble.

Reports said Trump has filed federal paperwork, declaring his 2024 campaign.

Digital World has agreed to merge with Trump Media and Technology Group, which owns the Truth Social platform. The consummation of the deal has been delayed due to an SEC investigation into disclosures made while filing for the SPAC merger. A federal grand jury in the Southern District of New York is also investigating the deal.

The premarket run-up in Digital World stock suggests investors are viewing Trump’s decision to rerun as positive for the SPAC.

Digital World shares advanced 5.36% to $26.79 in premarket trading on Wednesday, according to Benzinga Pro data. The SPAC, however, is down over 50% year-to-date.

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