Digital World Acquisition Approves $1.1 Billion Merger with Trump Media & Technology Group: A High-Stakes Bet on the Former President’s Future

By Eleanor Harrison Mar25,2024
Trump Media and Technology Group Receives Nasdaq Listing Approval; Making a Billion-Dollar Wager on a Potential Second Trump Term

On Friday, the shareholders of Digital World Acquisition (DWAC) approved the SPAC’s proposed merger with Trump Media & Technology Group (TMTG), a company responsible for Donald Trump’s Truth Social platform. The merger values TMTG at an enterprise value of about $1.1 billion at a transaction price of $10 per share. The combined company will soon trade under the ticker DJT, possibly as early as this week.

This merger has gained significant attention due to high-profile legal issues, intense trading activity, and Trump’s recent win in the Republican primary. Many view this stock as a bet on Trump winning the US presidency in November 2024. However, de-SPACs have been facing challenges in recent years, with past mergers averaging a -59% return over the last year. Despite this, Digital World Acquisition’s stock has shown remarkable performance, rallying 111% year-to-date and closing at $36.94 on Friday, well above the offer price pre-merger.

Digital World Acquisition first IPO’d in September 2021 with a focus on technology. Despite facing challenges typical of de-SPAC companies, the potential merger with TMTG has generated significant interest among investors. To access the full article and continue following this story, sign up for a free trial of IPO Pro.

By Eleanor Harrison

As a content writer at newseasoning.com, I infuse flavor into words, crafting compelling stories that captivate and inform our audience. With a keen eye for detail and a passion for creativity, I strive to create content that not only engages but also inspires. Whether I'm concocting a savory blog post or whipping up a spicy product description, I pour my heart and soul into every piece I write. Join me on this flavorful journey as we explore the tantalizing world of content creation together.

Related Post

Leave a Reply