Shares of Digital World Acquisition Corp. dropped 10% in morning trading Monday as the company reported that the subpoenas and a related investigation by the Department of Justice and the Securities and Exchange Commission could delay or even prevent its acquisition of the maker of Trump’s Truth Social app.
The Justice Department subpoenas follow an ongoing probe by the SEC into whether Digital World broke rules by having substantial talks about buying Trump’s company starting early last year before Digital World sold stock to the public for the first time in September, just weeks before its announcement that it would be buying Trump’s company.
