Trump-backed SPAC Digital World regains compliance with Nasdaq listing

·1 min read
FILE PHOTO: The Nasdaq logo is displayed at the Nasdaq Market site in Times Square in New York

(Reuters) - Digital World Acquisition Corp, a blank-check firm that is to merge with former U.S. President Donald Trump's social media platform, said on Wednesday it had been cleared by the Nasdaq over non-payment of certain dues.

"The company's fee delinquency has been cured, and as a result the company has regained compliance with the applicable listing standard," it said in an exchange filing, adding that a scheduled hearing next month related to the issue had been canceled.

Earlier this month, Digital World revealed that it had received a notice from the exchange over non-payment of some dues which could lead to a potential de-listing.

Digital World has already been facing delays in closing the deal to take Truth Social public due to investigations on whether the Trump-backed company broke securities regulations.

The deal was inked in October 2021 and late last year shareholders approved extending the deadline to close the deal to September 2023.

Last week, the company ousted Chief Executive Patrick Orlando, saying that it was "in the best interest of its shareholders to select a new management team."

(Reporting by Yuvraj Malik in Bengaluru; Editing by Shailesh Kuber)