On Friday, Digital World Acquisition Corp. shareholders voted to approve the merger with Trump Media & Technology Group, the parent company of Truth Social, in a welcome development for presumptive GOP nominee Donald Trump, who could net over $3 billion given that he owns 79 million shares or 60 percent of the company.
Digitial World Acquisition Corp (DWAC) is curently trading at $41 meaning that Trump's shares could be valued at over $3.2 billion when the initial public offering (IPO) takes place. The stock ticker will be 'DJT,' Trump's initials and will start trading next week with a $5.5 billion valuation. The vote comes as Trump is staring down a $454 million fine from the state of New York following the civil fraud case brought by New York Attorney General Letitia James.
While Trump could benefit greatly from the shareholder vote, he will likely be unable to pull money out of the stock due to a "lock up" provision that would not allow him to sell his shares until six months after the IPO. Trump does, however, have the option to submit a waiver to liquidate his stock before the six month period.
"Shareholders have just voted to make Trump Media & Technology Group, the parent company of Truth Social, a publicly traded company," TPUSA CEO Charlie Kirk wrote on X. "This could net Trump a windfall of $4 billion. The President would need to seek a waiver to liquidate his stock before the end of a lockup period in order to use the cash to secure a $450 million bond in the Letitia James, 'Get Trump' fraud case to then appeal the decision. Trump has nearly $500 million in cash, but experts claim he needs $1 billion in cash to secure a bond that size. The merger approval means TMTG stock will trade on Nasdaq as 'DJT' as early as next week."
This is a developing story and will be updated accordingly.
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