Shareholders greenlit former President Donald Trump’s media company’s public debut, allowing Trump Media & Technology Group to merge with Digital World Acquisition, despite ongoing legal disputes and scrutiny. Trump, owning 60% of the company, could utilize the stake to address legal debts.
The merger funneled $300 million to Trump Media, but financial skeptics question its $6 billion valuation.
The deal restricts major investors, including Trump, from selling shares for six months, possibly limiting Trump’s ability to alleviate legal obligations. Trump Media’s board, stacked with Trump allies, will decide on any waiver for early share sales.
Trump’s media venture, Truth Social, serves as his primary online platform, catering to his supporters. However, it lags far behind mainstream platforms in user engagement.
Amidst hurdles and investigations, the merger faced delays, including SEC and Justice Department probes. Trump previously explored selling Truth Social to Elon Musk but faced legal battles and uncertainties.
Digital World’s retail investors, anticipating gains, supported the deal. One investor, “Captain DWAC,” celebrated the successful vote, reflecting the intense attention on the merger.
Despite legal challenges and financial skepticism, Trump Media’s public listing marks a significant development in Trump’s post-presidential endeavors, amplifying his voice in the media landscape.
