Trump's Truth Social set for $6.8bn valuation in Nasdaq debut
Shares in Trump Media & Technology Group surged in pre-market trading on Tuesday ahead of its debut on the Nasdaq as the owner of Donald Trump's Truth Social social-media platform starts its first day as a public company valued at nearly $7bn.
After completing a merger with Digital World Acquisition Corp (DWAC), a shell company that was already listed, Truth Social's parent company will trade with the ticker DJT, named after the former president's initials.
DWAC shares have already soared 186% so far in 2024, rising 35% on Monday's session alone, and another 8% in pre-market trading on Tuesday.
It is thought that small-time retail investors and Trump supporters have been behind the stock's meteoric rise, rather than large institutional investors.
Truth Social, which launched only two years ago and is yet to turn a profit, is set to be valued at around $6.8bn when markets open, with Trump holding a 60% stake, valued at around around $4bn – holding 79m of the 135m outstanding shares.
Trump, who currently appealing a civil-fraud lawsuit, needs to pay a $175m bond within 10 days after it was reduced from $454m by the New York appeals court on Monday.