Former President Donald Trump’s new social media company, Trump Media & Technology Group Corp. (TMTG), is about to start trading on the NASDAQ market under the stock ticker symbol DJT. This follows a successful merger between Trump’s company and Digital World Acquisition Corp.
Following the merger approval, Digital World Acquisition Corp. shares surged by approximately 10% on Monday morning. Shareholders of DWAC voted overwhelmingly on Friday to approve the combination with Trump Media & Technology Group, the entity behind the Truth Social app platform.
With shares set to hit public markets this week, the launch of TMTG could potentially result in significant financial gains for Trump. Current projections suggest that Trump could own around 80 million shares in the new company, estimated to be valued at $3 billion or more.
However, Trump will be subject to certain restrictions on the sale of shares, with a mandated lock-up period of at least six months. The board of directors, which is expected to include individuals close to Trump such as his son, Donald Trump Jr., and former trade representative Robert Lighthizer, could potentially authorize an earlier sale of shares.
The influx of funds from selling shares could help Trump address his mounting legal expenses, including damage judgments totaling over $500 million across three separate cases.
Despite a dip of nearly 14% in stock value on Friday following the merger approval, the overall trajectory of DWAC shares has been positive, with a year-to-date increase of approximately 130%. However, the stock has seen a decline of over 30% since reaching its 52-week high on January 23.
Donald trump
Social networks
Nasdaq Stock Market