Former President Donald Trump is making headlines once again, this time for his financial maneuvers to pay off a massive $464 million fraud fine. Trump Media, the company behind the social media platform Truth Social, is on the verge of going public through a merger with Digital World Acquisition Corp.
With a potential stake of at least 58% in the merged company, valued at over $3 billion, Trump could see a significant windfall. However, the deal is not without its red flags, including unresolved lawsuits and an $18 million settlement over fraud charges.
Despite the risks, individual investors, many of whom are Trump loyalists, are rallying behind the deal, hoping to support the former president in his legal battles. If approved, shares of the new company will trade on the Nasdaq under the ticker DJT.
While the merger may not immediately solve Trump’s financial woes, it could provide much-needed cash infusion for Truth Social, which has struggled to gain traction in the competitive social media landscape. Analysts warn that the stock price of Digital World may be inflated, making it a risky investment.
As the deal moves forward, the spotlight remains on Trump and his potential gains from the merger. Critics warn of a potential collapse in the future, but for now, all eyes are on the outcome of the shareholder vote on Friday.
