The newly formed parent company for Truth Social will debut on the stock market Tuesday, bringing to a close a years-long merger that is set to net former President Trump billions of dollars.
A special-purpose acquisition company (SPAC) merged with Truth Social parent Trump Media & Technology Group Corp. on Monday following months of negotiations and legal challenges, allowing it to make an initial public offering on the NASDAQ quickly.
The SPAC, Digital World Acquisition Corp., saw its stock price climb about 35 percent on the news Monday. The new company will retain the Trump Media name and go by the ticker DJT.
Trump owns about 58 percent of the new company, a stake that’s valued at about $3 billion. He is barred from selling shares for at least six months.
The management of the Truth Social parent company, led by former Rep. Devin Nunes (R-Calif.), will not change.
“As a public company, we will passionately pursue our vision to build a movement to reclaim the Internet from Big Tech censors,” Nunes said in a statement. “We will continue to fulfill our commitment to Americans to serve as a safe harbor for free expression and to stand up to the ever-growing army of speech suppressors.”
The windfall is much needed for Trump, who struggled to find funds to pay a $464 million bond in his New York civil fraud case, putting his real estate empire at risk. The bond was reduced on appeal Monday to $175 million, which Trump said he will pay.