Summary by Moomoo AI
Digital World Acquisition Corp. (DWAC), a special purpose acquisition company, has faced a series of regulatory inquiries and legal challenges, as detailed in its amended annual report for the fiscal year ended December 31, 2022. The company is cooperating with an SEC investigation and a FINRA inquiry related to trading activities preceding the announcement of its merger agreement with Trump Media & Technology Group Corp. (TMTG). DWAC has also been involved in a lawsuit alleging certain directors violated Section 16(b) of the Exchange Act. The company has reached a settlement with the SEC, agreeing to pay an $18 million penalty upon completion of a business combination. DWAC has extended the deadline to complete a business combination to September 8, 2024, and has received termination notices from PIPE investors for approximately $467 million of the PIPE. The company's stock faces potential delisting from Nasdaq due to non-compliance with filing requirements. DWAC has also entered into an Administrative Support Agreement with Renatus LLC and issued promissory notes to cover costs associated with completing a business combination.