(Reuters) Shares of blank-check company Digital World Acquisition Corp. traded 14% lower on Monday after a deal to take Trump Media & Technology Group hung in balance.
The fall in DWAC shares followed the quitting of two-tech executives behind TMTG Truth Social startup.
The departing executives, Billy Boozer and Josh Adams, were key to Truth Social’s development, with their resignation a blow at a time TMTG is eyeing smartphone-app release.
The exit of Boozer and Adam happens after a troubled launch of TMTG’s iPhone app on February 20. Many users are unable to access the platform and remain on the waiting list, despite the company saying they want to make the app fully operational in the US by the end of last month.
There have also been questions regarding how TMTG is funding its growth, with its deal with DWAC also facing scrutiny from the US Securities and Exchange Commission.
Investors have pledged TMTG $1 billion but reports indicated they will not send the money until the deal with DWAC closes.
DWAC: NASDAQ is down -14.20%
