Trump Media & Technology Group Surges on First Day of Trading after Merger with DWAC

Truth Social, owned by Trump Media & Technology, sees massive stock surge on debut

The stock of Trump Media & Technology Group surged on its first day of trading following its merger with Digital World Acquisition Corp. (DWAC). On Monday, after months of delays due to Securities and Exchange Commission investigations, DWAC shareholders finally approved the merger. As a result, the newly combined company began trading under the ticker “DJT” on Tuesday.

The surge in DWAC’s stock was led by an announcement that plans were being unveiled for the company to begin trading under the new ticker on Tuesday. The momentum continued as markets opened for the combined company’s trading debut. Trump Media stock, reflective of former President Donald J. Trump’s initials, saw a 38% increase to $69.10 by 11:20 a.m. ET on Tuesday, reaching a high of 59% at $79.38 in the first half hour of trading. With former President Donald Trump holding approximately 80 million shares valued between $3 billion and $4 billion at the time of the merger announcement last week, his stake is expected to significantly increase following the first day of trading on the Nasdaq.

The merger between Trump Media and DWAC was initially proposed in October 2021 but faced delays as regulators investigated potential misrepresentation of talks between DWAC and Trump Media prior to the public offering. Despite these challenges, no changes have been announced to the merger terms including a six-month lock-up period preventing major shareholders like ex-president from selling their shares.

Some observers see this move as an opportunity for ex-President Donald Trump to boost his finances amidst mounting legal fees and penalties as he navigates future legal battles.

In conclusion, Trump Media & Technology Group’s surge on its first day of trading reflects investors’ excitement about this new venture that combines two companies in media and technology sectors with strong backing from a former president who holds significant ownership stakes in it.

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