Just when you thought you’d seen it all this year. 😅 Donald Trump’s new media company, Trump Media & Technology Group, is merging with Digital World Acquisition Corp. $DWAC skyrocketed over 350% today on news of the merger.
Prior to the merger announcement, $DWAC shares traded around $10/share. Last night, the SPAC announced its plans to merge with TMTG. The stock exploded to $45 today, up over 356%. Trading was halted several times due to volatility — yeah, that’s like a GameStop-level price explosion. 🚀 🚀
Digital World Acquisition Corp announced that it will be taking Trump Media & Technology Group public today at a $1.7 billion valuation. The SPAC’s sponsors commented this on the deal:
“The transaction values Trump Media & Technology Group at an initial enterprise value of $875 Million, with a potential additional earnout of $825 Million in additional shares (at the valuation they are granted) for a cumulative valuation of up to $1.7 Billion depending on the performance of the stock price post-business combination. Trump Media & Technology Group’s growth plans initially will be funded by DWAC’s cash in trust of $293 Million (assuming no redemptions).”
After a dramatic day in the markets, Trump Media & Technology now sits at an estimated $2.2 billion valuation. The company intends to challenge popular social media platforms and streaming services like Twitter, Amazon, Netflix, and Disney+. The new platform will be called Truth Social.
Everyone knows Former President Donald Trump has been banned on popular social media sites, including Twitter and Facebook. So this is certainly a story we’ll be watching. ⏳