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Buttress? Yes

On Friday, shareholders in Digital World Acquisition Corp, a listed cash shell, voted to approve a merger with Trump Media & Technology Group (TMTG), the company behind Mr Trump’s social network Truth Social.

It means TMTG will join the Nasdaq exchange as early as next week. Mr Trump will own a majority of the combined company with a stake worth around $3.5bn.

Mr Trump has until Monday to pay a $454m bond to a New York civil fraud case and authorities could seize his assets if he does not pay. He must pay the bond as he seeks to appeal a ruling that he fraudulently inflated the value of his assets.

While he would not be able to sell his shares for six months, the merger of TMTG and Digital World may buttress Mr Trump’s finances.

It’s fairly standard that you cvan borrow up to 50% of the value of a holding of a listed stock. More if it’s a major stock.

I have to admit that the pain and grief there’s been in getting this Truth Social merger with Digital World has surprised the hell out of me. Given the ease with which these things usually go through the year – or is it two? – delay here has been seen by me at least as part of that legal warfare against Trump. An insistence that he not be allowed to benefit from anything…..

3 thoughts on “Buttress? Yes”

  1. Saw a thing a couple of weeks ago regarding the wealth of former US Presidents. Of the last six, the only one who left office poorer than when they went in is Trump.

    Bill C entered with $1.3m net worth and left with $200+m……..

  2. It’s all about democracy and the rule of law.

    Democracy and the rule of law.

    Democracy and the rule of law.

  3. Trump can’t borrow against his DWAC stake – he’s not allowed to sell or encumber his shareholding for six months. And even if he could, no one would accept it as security for any significant fraction of its paper value, because the DWAC share price is puffed up by fanboys, who haven’t got deep enough pockets to buy shares in big size.

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