Trump Media Climbs to $7.9 Billion Post-SPAC Deal Valuation
Former president Donald Trump’s social media startup gained 16% in its first trading day as a public company, after the most high-profile blank-check deal in years added billions to his fortune — at least on paper.
Tweet on Truth social shares fluctuation
Shares of Trump Media & Technology Group Corp. rose as much as 59% before paring gains, closing at $57.99 each on Tuesday, via Bloomberg#Trump #TruthSocial pic.twitter.com/bQtYzFgzEX
— The_Journalbiz (@the_journalbiz) March 27, 2024
Bloomberg chart
Shares of Trump Media & Technology Group Corp. rose as much as 59% before paring gains, closing at $57.99 each on Tuesday. The trading after the closing of the merger with Digital World Acquisition Corp. values the unprofitable company at $7.9 billion, capping an eye-popping meme stock run, and providing a potential windfall for Trump as he faces a mounting series of legal and financial woes.
Trump’s nearly 60% stake in the unprofitable company behind Truth Social may ultimately be worth more than $6 billion, based on its filings with the US Securities and Exchange Commission.
The company’s post-merger performance on the Nasdaq under the symbol DJT will test Trump’s ability to capture the attention of individual traders and momentum investors who use it as a way to bet on his push for re-election.
It has become the most expensive US stock to sell short, with short sellers paying over 200 times the average cost to borrow the shares, according to financial analytics firm S3 Partners.
