SPAC that plans to take Donald Trump's media venture public soars in market cap to $2 billion

[Yo_Mama_Been_Loggin]

Shares of the SPAC linked to former President Donald Trump's planned digital media platform surged this week, days after revelations of an SEC investigation and an announcement the two companies had lined up an estimated $1 billion from investors for TRUTH social.

The stock price of Digital World Acquisition Corp. (DWAC), a special purpose acquisition company, was up about 25% to close out the week, following a sell-off last month. The company's market cap now stands around $2 billion.

The spike came after an eventful week for DWAC and Trump Media & Technology Group Corp. (TMTG), which has described aspirations for the TRUTH Social site and accompanying app to serve as "a conservative media universe" with "non-woke content."

A week ago, the two companies announced they had reached a deal to fund the site, with investors pledging more than $1.25 billion to TRUTH Social, according to a press release. While the identity of the investors remains unknown, the funding will function as "PIPE" investments, or private investments in public equity.

Then, on Monday, it was revealed the deal was being investigated by the US Securities and Exchange Commission and other regulators, according to a report filed with the SEC. The investigation, according to the filing, began in early November. The Financial Industry Regulatory Authority (FINRA), a private regulator, also began looking into the partnership in late October following the October 20 merger announcement.

https://www.msn.com/en-us/money/news/spac-that-plans-to-take-donald-trumps-media-venture-public-soars-in-market-cap-to-dollar2-billion/ar-AARINqQ

I (and I imagine many others) suspect this is a pump and dump scam.

[C_U_L8R]

1. Pump and dump sure rhymes with Trump.

[Takket]

2. seems like a large investment in a company doomed to failure

no one is going to use this and hence they aren't going to sell advertising space to anyone. Despite the cries of "censorship!" right wing terrorists are still talking, spreading misinformation, and planning crimes with impunity on existing social media platforms, especially facebook. drumpf's platform will fall flat on its face because it simply isn't needed.

Though, like most right wing platforms, it probably will see great success as a medium for dissemination of child porn and child trafficking.

[Midnight Writer]

3. Vaporware.

[Corgigal]

4. He, with Bill O'Reilly

couldn’t sell out tickets at his Naples whiny show. Might be a hint.