Trump may get $3.5bn lifeline in battle to pay legal bills

Trump may get $3.5bn lifeline in battle to pay legal bills

After his social network business cleared the final hurdle to a Wall Street listing, Donald Trump will get a $3.5bn (£2.8bn) payout as he confronts a large litigation expense.

On Friday, shareholders in listed cash shell Digital World Acquisition Corp. approved a merger with Trump Media & Technology Group (TMTG), which owns Truth Social.

The Nasdaq market will welcome TMTG next Thursday. Mr. Trump will possess a controlling share in the merged firm worth $3.5bn.

If Mr. Trump fails to pay a $454m bail to a New York civil fraud prosecution by Monday, authorities might confiscate his assets. He must pay the bail to challenge a finding that he illegally overstated his assets.

The TMTG-Digital World combination may help Mr. Trump's finances, even if he can't sell his shares for six months.

Arc Global Investments, Digital World's largest shareholder, was dubious about supporting the merger, which encountered late challenges. At a Friday shareholder meeting, Digital World won enough approval.

Digital World shares have risen 145pc this year, likely owing to Trump supporters buying them.

TMTG and Digital World received regulatory permission last month to complete the long-delayed merger.

Trump launched Truth Social in 2021 after leaving office, comparable to Twitter, which he was barred from after the January 6 Capitol Hill protests.

Users may send brief remarks, react, and “re-truth” postings. Despite his Twitter ban being lifted, Mr. Trump writes many times a day.

While sales climbed from $237,000 in 2022 to $3.4m in 2023, TMTG lost $49m.

Read the original article here.

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