Digital World Acquisition Entered Into Retention Bonus Agreement With TMTG Effective As Of February 12; Digital World Acquisition: Agreed Shall Be Liable For Payment Of Certain Cash Bonuses In Cumulative Amount Of Up To $6.4M To Affiliates
Portfolio Pulse from Charles Gross
Digital World Acquisition Corp. (DWAC) has entered into a retention bonus agreement with Trump Media & Technology Group (TMTG), effective February 12. Under this agreement, DWAC will be liable for payment of cash bonuses totaling up to $6.4 million to affiliates.
February 12, 2024 | 12:08 pm
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Digital World Acquisition Corp. (DWAC) has committed to paying up to $6.4 million in cash bonuses to affiliates as part of a retention bonus agreement with TMTG.
The commitment to pay up to $6.4 million in bonuses could impact DWAC's financials in the short term, potentially leading to negative investor sentiment. The substantial amount earmarked for bonuses may raise concerns about cash flow and profitability, thus likely leading to a negative impact on the stock price.
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