Trump's Social Network Attracts $1 Billion From Investors
Trump Media & Technology Group (TMTG) - the social networking enterprise founded by the former US President - announced that its partner company has reached an agreement to raise $ 1 billion from investors.
The capital will come from "a diverse group of investors" following the merger of TMTG and Digital World, per the announcement. According to Digital World, the amount of $1 billion exceeds the number of $293 million (minus expenses) that this company was likely to be invested in.
Previously, former President Trump founded TMTG in October and revealed the plan to build a new messaging application named Truth Social Network.
Truth Social's purpose is to compete with Twitter and other social media platforms that banned the former president's account after the US Capitol attack on Jan 6.
According to the plan, TMTG will become a public company through a merger with Digital World, also a publicly listed one. Digital World is a special purpose acquisition company (SPAC) - a type of company created with the sole purpose of raising capital through an initial public offering (IPO) to acquire a private company.
“I am confident that TMTG can effectively deploy this capital to accelerate and strengthen the execution of its business, including by continuing to attract top talent, hire top technology providers, and roll out significant advertising and business development campaigns,” said Patrick Orlando, CEO of Digital World.
On legal papers, Trump is the chairman of TMTG. The former US president will receive tens of millions worth of shares if the merged company does well.
Donald Trump is facing numerous legal troubles stemming from baseless allegations of election fraud and personal financial practices. The value of the the former US President’s personal fortune is said to have declined amid an investigation into the Trump Group.
H/T: The Guardian
Source: Press Informant
The capital will come from "a diverse group of investors" following the merger of TMTG and Digital World, per the announcement. According to Digital World, the amount of $1 billion exceeds the number of $293 million (minus expenses) that this company was likely to be invested in.
Previously, former President Trump founded TMTG in October and revealed the plan to build a new messaging application named Truth Social Network.
Truth Social's purpose is to compete with Twitter and other social media platforms that banned the former president's account after the US Capitol attack on Jan 6.
According to the plan, TMTG will become a public company through a merger with Digital World, also a publicly listed one. Digital World is a special purpose acquisition company (SPAC) - a type of company created with the sole purpose of raising capital through an initial public offering (IPO) to acquire a private company.
Source: CNBC
“I am confident that TMTG can effectively deploy this capital to accelerate and strengthen the execution of its business, including by continuing to attract top talent, hire top technology providers, and roll out significant advertising and business development campaigns,” said Patrick Orlando, CEO of Digital World.
On legal papers, Trump is the chairman of TMTG. The former US president will receive tens of millions worth of shares if the merged company does well.
Donald Trump is facing numerous legal troubles stemming from baseless allegations of election fraud and personal financial practices. The value of the the former US President’s personal fortune is said to have declined amid an investigation into the Trump Group.
H/T: The Guardian
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