Investors have pulled almost $140 million in commitments to a “blank-check” company planning a merger with the parent company of Donald Trump’s Truth Social forum, the latest stumbling block for the proposed deal.
Digital World Acquisition Corp., a so-called special-purpose acquisition company, said in a regulatory filing on Friday that unnamed investors have sent “termination notices” representing about $138.5 million of $1 billion in commitments to the merged entities.
Digital World didn’t immediately return a request for comment. Reuters reported that one of the investors that had withdrawn its commitment to the merger is Sabby Management, which had pledged $100 million. Sabby Management also didn’t immediately return a request for comment.