In a significant development for former President Donald Trump, the Securities and Exchange Commission (SEC) has given the green light to the initial public offering (IPO) of his social media platform, Truth Social. This approval paves the way for Trump to potentially gain a $4 billion windfall in shares from the forthcoming IPO.
The approval comes at a crucial time for Trump, who has been facing numerous legal challenges in recent years. The SEC’s decision to allow the IPO of Truth Social is seen as a major victory for the former president, as it will provide a substantial financial boost to his business ventures.
BREAKING: The SEC has approved of the merger between $DWAC and Truth Social, making Donald Trump’s 58% stake in the company worth an estimated $4 billion based off the current stock price in the deal.
— Patrick Webb (@RealPatrickWebb) February 16, 2024
The $4 billion value of Trump’s stake in Truth Social is based on the current stock price of Digital World Acquisition Corp. (DWAC), the company that is set to merge with Truth Social.
DWAC’s stock price has been on an upward trend since the announcement of the merger, reflecting investor confidence in the future of the social media platform.
CNN on Trump’s stake in Truth Social: “How much would Trump’s shares be worth if it does in fact go public? It could be upwards of $4 billion”
— The Post Millennial (@TPostMillennial) February 19, 2024
The SEC’s approval of the IPO is a testament to the growing popularity of Truth Social, which has positioned itself as a conservative alternative to mainstream social media platforms. The platform has attracted a large number of users since its launch in 2021, with many of them being supporters of Trump and his political views.
With the SEC’s approval in place, the stage is set for the highly anticipated IPO of Truth Social. The financial injection from the IPO will not only benefit Trump but also help the platform to expand its operations and compete with other social media giants.
As the IPO date approaches, all eyes will be on the performance of Truth Social’s stock and the impact it will have on Trump’s financial standing. The success of the IPO could mark a significant turning point for the former president and his social media platform, as they continue to challenge the status quo in the digital world.
The announcement was made on February 17, the same date Judge Arthur Engoron in New York ordered Trump to may more than $300 million after he allegedly inflated the value of his properties on loan documents, despite the banks which issued the loans voicing no concerns.
