Shareholders of Digital World Acquisition Corp. (DWAC) approved a merger with former President Trump’s media startup, setting up Truth Social’s debut on the stock market and a possible $3.5 billion profit for Trump.
The long-awaited merger between the blank check company and Trump Media & Technology Group was approved by the Securities and Exchange Commission (SEC) last month.
Trump could earn around $3.5 billion from the deal, as he would have control over nearly 79 million shares in the newly merged company.
The stock's value fluctuated significantly on Friday, starting at about $44 per share, reaching a high of $46.70, dropping to as low as $38.12, and then settling near $41 around noon.
This potential profit comes at a time when the former president is struggling to obtain a $464 million bond in his New York civil fraud case. Trump’s legal team recently acknowledged that it was “impossible” to secure the full appeal bond due to a lack of available funds.
If Trump is unable to secure the half billion-dollar bond by Monday, he risks having his assets seized. The New York attorney general’s office has initiated the process to acquire Trump’s golf resort and private estate known as Seven Springs, by filing judgments in Westchester County.
Initiating a judgment in the counties where Trump owns properties is the initial step in the attempt to recover them.
A judgment has already been made in New York City, where Trump's civil fraud trial was held and where his renowned 40 Wall Street and Trump Tower properties are situated.
Despite the potential profit coming his way, Trump will not be able to immediately access the money, as there is a provision preventing insiders from selling new shares for six months.
Updated at 11:45 a.m. The Associated Press contributed.
