The former CEO of Digital World Acquisition (DWAC) is suing his replacement for allegedly orchestrating a "coup d'état" to seize control of the company, claiming that his files were hacked and confidential information was used to discredit him. The lawsuit also alleges that the new CEO offered "outsized compensation" to other directors for support in removing the former CEO. This legal battle comes after the merger of DWAC with Trump Media & Technology Group, which has seen significant declines in stock performance following its public debut on the Nasdaq.
Two brothers, Michael and Gerald Shvartsman, pleaded guilty to securities fraud in connection with a $22 million insider trading scheme related to the merger between Digital World Acquisition Corp. (DWAC) and Trump Media & Technology Group. They illegally traded on nonpublic information about the merger, and face a maximum sentence of 20 years in prison. Another individual, Bruce Garelick, who provided critical information to the brothers, is set to go to trial at the end of the month.
Donald Trump's social media platform Truth Social saw its stock surge over 30% in its first day of trading on the Nasdaq under the ticker symbol "DJT," following a merger with Digital World Acquisition Corp. Trump will maintain a 60% stake in Truth Social, valued at nearly $3 billion, but will have to wait six months before selling or transferring shares. The company reported a $49 million loss in the first nine months of last year, and faces a $454 million fraud penalty as Trump prepares for a potential 2024 presidential rematch against Joe Biden.
Former President Donald Trump's newly merged social media company, Trump Media & Technology Group Corp., will begin trading under the stock ticker symbol DJT on Tuesday, following the completion of a merger with Digital World Acquisition Corp. The majority of DWAC shareholders approved the merger, causing DWAC's share price to soar up to 25% higher on Monday. Trump, who owns at least 58% of the company, is barred from selling shares for six months. The company, led by CEO Devin Nunes, aims to build a movement to reclaim the Internet from Big Tech censors and serve as a safe harbor for free expression.
Digital World Acquisition Corp's shares rose 10% after shareholders approved a merger with Trump Media & Technology Group, with the merged company potentially trading under the ticker symbol DJT. Former President Donald Trump is expected to own 80 million shares in the new company, worth around $3 billion, but will not be allowed to sell shares for at least six months. The board of directors, including individuals close to Trump, could vote to permit earlier share sales. The stock had fallen nearly 14% after the merger approval but has soared about 130% this year.
Donald Trump expressed his love for Truth Social after Digital World Acquisition Corp.'s stock plunged nearly 14% following shareholder approval of a merger with Trump's social media company. The decline in stock price raises concerns about the new company's revenue potential and Trump's legal troubles, including civil judgments and mounting legal bills. Trump's ownership stake in the newly merged company could be affected, and there are worries that he may try to sell shares to cover his legal costs, further impacting the share price. Trump Media will use the ticker symbol DJT when it begins trading on the NASDAQ stock market, but concerns about the company's financial prospects persist given Trump's history with publicly traded companies.
Pennsylvania billionaire Jeffrey Yass' firm, Susquehanna, is the largest institutional shareholder in the company that merged with Truth Social, Donald Trump's social media platform. This connection between a powerful GOP megadonor and the presumptive Republican nominee has raised eyebrows. Trump stands to gain over $3 billion from the merger, approved by shareholders, and the new company, Trump Media & Technology Group, will trade under the ticker DJT. Yass, a Republican megadonor, has not donated to Trump's campaign but has donated to other GOP candidates. The recent meeting between Yass and Trump has sparked speculation about potential financial pressure on Trump and his efforts to court Yass.
Digital World Acquisition Corp. (DWAC) shareholders have approved the merger with Trump Media & Technology Group, allowing Truth Social to go public. Trump is set to receive $3.5 billion in stock value, but cannot sell shares for six months. The future business strategy of Truth Social remains unclear, with the app currently functioning as "purely an ad business" despite having a large fanbase. Post-SPAC companies historically perform poorly, dismissing suspicions that Trump may borrow against his shares.
Shareholders of Digital World Acquisition Corporation have approved a merger with Donald Trump's social media company, potentially netting the former president a windfall of $3 billion or more. The newly combined company, Trump Media, could begin trading publicly next week under the stock symbol DJT. Trump would have nearly 80 million shares in the merged company, but would be barred from selling them for at least six months. The potential windfall comes as Trump faces significant legal bills and a massive civil fraud judgment.
Donald Trump's social-media company, Truth Social, is set to go public via a SPAC called Digital World Acquisition Corp (DWAC), with investors eagerly anticipating the merger despite the company's financial struggles and lack of active user data. Trump's liquidity crunch, including a half-billion dollar fine and difficulty securing a bond, raises concerns about his ability to capitalize on his stake in the new entity. Critics warn of economic reality sinking in eventually, as historically, most SPACs have lost value post-merger, but fervent supporters remain convinced of the company's potential.
Shareholders of Digital World Acquisition are set to vote on the merger with Trump Media & Technology Group, potentially making former President Donald Trump's 90% stake in TMTG worth around $4 billion based on DWAC's current stock price. Trump is facing challenges in securing a bond to appeal a civil business fraud judgment, while DWAC shares surged ahead of the vote. The merger aims to take TMTG, the parent company of Truth Social, public, and if approved, DWAC will change its name to Trump Media & Technology Group.
Digital World Acquisition Corp. disclosed new lawsuits seeking to block its merger with Trump Media and Technology Group, including a lawsuit filed by former DWAC chairman Patrick Orlando. The filing also revealed threats from Trump Media's co-founders to block the deal and accusations of Trump attempting to dilute the value of shares held by them. DWAC's stock was down 5.6% on Friday, but is up 123% year to date, while the S&P 500 has gained about 7%.
A former executive of the blank-check acquisition vehicle seeking to take Donald Trump’s Truth Social public is suing to block the deal, claiming he is being short-changed in the stock payout. The lawsuit, filed in Delaware, seeks to resolve the stake prior to the March 22 vote by DWAC shareholders to approve the deal. The dispute centers on the conversion rate of ARC’s class B DWAC shares to class A shares, with DWAC claiming a ratio of 1.34 and ARC arguing for 1.78. The potential $10 billion deal faces legal challenges and regulatory scrutiny, with Trump's company recently cleared by the SEC to complete the merger.
The Securities and Exchange Commission (SEC) has approved the merger of Trump Media & Technology Group and Digital World Acquisition Corp. (DWAC), paving the way for Donald Trump's Truth Social to go public. Trump is set to own roughly 79 million shares of the company, valued at around $4 billion, with lock-up rules preventing access to the money for six months. The final step is for shareholders to approve the deal, and DWAC stock, which has been trading like a meme stock, has seen a sharp climb in price. Trump's deal with DWAC gives him significant power at the company, including the ability to elect board members and potentially block matters requiring stockholder approval.
Former President Donald Trump is set to potentially gain nearly $4 billion from the merger of Digital World Acquisition Corp (DWAC) and Trump Media & Technology Group, the entity behind his social media platform, Truth Social, following an approval from the Securities and Exchange Commission (SEC). Trump's ownership stake in the new entity, New Digital World, is estimated to be around 58.1 percent, translating into a stake valued at approximately $3.95 billion based on current market prices. The approval comes at a crucial time for Trump, who faces legal judgments and ongoing lawsuits with significant financial implications. DWAC's unique position between finance and politics, propelled by its association with Trump, is expected to bring unprecedented volatility in its stock as the election approaches.
