June 16, 2024

DJT’s Stock Surges on First Day of Trading: President Trump’s Media and Technology Company Merges with Digital World Acquisition Corp

2 min read
Truth Social, owned by Trump Media & Technology, sees massive stock surge on debut

The merger between Trump Media & Technology Group and Digital World Acquisition Corp. has led to a surge in the stock price of the newly formed company on its first day of trading. After months of delays due to Securities and Exchange Commission investigations, DWAC shareholders finally approved the merger on Friday.

The announcement of DWAC shareholders’ approval on Friday led to a surge in DWAC’s stock on Monday, as plans were unveiled for the company to begin trading under the new “DJT” ticker on Tuesday. The momentum continued as markets opened on Tuesday for the combined company’s trading debut.

Trump Media stock, reflective of the former president’s initials, saw a 38% increase to $69.10 by 11:20 a.m. ET on Tuesday, reaching a high of 59% at $79.38 in the first half hour of trading. With former President Donald Trump holding approximately 80 million shares valued between $3 billion and $4 billion at the time of the merger announcement last week, his stake is expected to significantly increase following the first day of trading on the Nasdaq.

The merger between Trump Media and Digital World Acquisition Corp was initially proposed in October 2021 but faced delays as regulators investigated potential misrepresentation of talks between DWAC and Trump Media prior to public offering. Despite these challenges, no changes have been announced to merger terms including a six-month lock-up period preventing major shareholders like ex-president from selling their shares.

Some observers see Trump Media’s decision to go public as a means of boosting President Trump’s finances amidst mounting legal fees and penalties . With potential legal challenges continuing to mount this move may prove beneficial for former president as he navigates future legal battles

Leave a Reply

Copyright © All rights reserved. | Newsphere by AF themes.