Connect with us


Donald Trump Might Make $3 Billion If The Truth is Made Public

Avatar of AlishbaW



Donald Trump Might Make $3 Billion If The Truth is Made Public

(CTN News) – Former President Donald Trump is expected to earn $3 billion from the sale of his social media platform, which investors approved on Friday.

Truth Social’s parent company, Trump Media & Technology, has been fighting to gain stock market exposure for years through “blank check” mergers with shell companies.

Trump’s business finally succeeded in combining with Digital World Acquisition on Friday morning following a vote of its shareholders.

In contrast, Donald Trump Media has struggled since Truth Social’s launch, generating only about $5m in sales since 2021. About $6 billion has been added to the firm’s value since the turn of the year as its stock has rallied by 145%.

Donald Trump Media & Technology Group will trade on the stock market under the ticker “DJT” – Trump’s initials.

The stock price of Digital World was $44 before the announcement, suggesting the new company would have a value of more than $5 billion. Trump owns 79 million shares of the combined business, giving him a stake of approximately $3 billion. As a result of the merger, key shareholders will not be able to sell their stocks right away, which means he won’t be able to cash out this stake right away.

A financial crunch is plaguing Donald Trump as he fights to reclaim the presidency from Biden in November. After 30 surety companies turned him down, his lawyers warned this week that paying $454m would be a “practical impossibility” after a New York judge ordered him to pay after he was convicted of civil fraud last month.

Internet memes – in this case posted on platforms including Truth Social – have encouraged retail investors to buy into Digital World, which is increasingly seen as a so-called meme stock.

In 2021, Donald Trump Digital Media announced plans to buy Shell.

A special purpose acquisition company, or Spac, such as Digital World, usually raises funding from investors through an IPO before searching for a public company to acquire.

When a Spac finds and agrees to terms with a target, it absorbs the business and draws it onto the stock market, allowing investors in both companies to profit. Spac’s original investors, however, can withdraw their money if they are unhappy with the deal.

Digital World’s increase in price was “not due to underlying fundamentals”, according to Julian Klymochko, the CEO of a Spac-focused fund at Accelerate Financial Technologies.

Klymochko said Truth Social hasn’t really taken off yet. The stock is a meme at this point. It’s just a tool for betting on Donald Trump election victory.”

As Ron DeSantis, the governor of Florida, stepped down as a presidential candidate on 22 January, Digital World shares soared 88%.


Government Shutdown Bills Pass The House; Now It’s Up To The Senate

Alishba Waris is an independent journalist working for CTN News. She brings a wealth of experience and a keen eye for detail to her reporting. With a knack for uncovering the truth, Waris isn't afraid to ask tough questions and hold those in power accountable. Her writing is clear, concise, and cuts through the noise, delivering the facts readers need to stay informed. Waris's dedication to ethical journalism shines through in her hard-hitting yet fair coverage of important issues.

Continue Reading

CTN News App

CTN News App

Recent News


compras monedas fc 24

Volunteering at Soi Dog

Find a Job

Jooble jobs

Free ibomma Movies