Digital World Acquisition Corp., a publicly traded shell company, has received shareholder approval to merge with Trump's media business in a Friday vote. The stock of Digital World experienced volatility, dropping 13.7% after the merger approval on Friday but then surging 35.2% to $49.95 on Monday. Former President Donald Trump is expected to own the majority of the combined company, with nearly 79 million shares valued at nearly $4 billion. However, Trump's ability to sell his stake immediately is restricted by a 'lock-up' provision that prevents insiders from selling newly issued shares for six months, unless the company's board makes changes.
Former President Donald Trump's social media company, Trump Media, will start trading publicly on Tuesday. The right-wing platform, majority-owned by Trump, will debut on the Nasdaq stock exchange with the ticker symbol $DJT, reflecting the former president's initials. Trump's ownership in Trump Media is estimated to range between 58% and 69% when it goes public.
Members of the public can now purchase shares of Donald Trump's media company, listed under the name "DJT," starting Tuesday. This move provides a significant financial boost to the former president amidst ongoing court cases and his 2024 White House campaign. The merger between Digital World Acquisition (DWAC) and Trump Media & Technology Group, parent company of Truth Social, has reportedly increased Trump's net worth by over $4 billion and landed him on the Bloomberg Billionaires Index. The surge in DWAC shares is partly due to Trump supporters investing in the company to support him during his campaign and legal challenges. Trump's media company is valued much higher than the reported revenue of $3.3 million for Truth Social from January to September 2023.
