Donald Trump’s media stock takes flight on its first day of public trading

Shares of Trump Media & Technology Group Corp. surged on Tuesday during their debut under the new DJT ticker symbol, leading to significant gains for former President Donald Trump. The company, controlled by Trump, experienced a more than 34% increase in its shares on its Nasdaq debut. Analysts anticipate continued volatility for the stock in the coming days.

Before trading commenced, Trump Media had an approximate market value of $6.8 billion, which is expected to increase significantly if the initial gains in the shares continue. Previously, Donald Trump stated that he possessed over half a billion dollars in cash but preferred to allocate it towards his presidential campaign rather than settling the civil fraud judgment against him in New York.

Trump Media & Technology Group went public today through a process known as a merger, not an initial public offering (IPO). The company merged with Digital World Acquisition Corp. to become publicly traded.

Digital World Acquisition Corp (DWAC) is a special purpose acquisition company (SPAC) that has been listed on the Nasdaq since 2021. SPACs, often called "blank check companies," typically raise funds before identifying a target company to acquire. Once a target company is identified, they merge with it, allowing the acquired company to go public through a different process than a traditional IPO.

Shareholders of Digital World Acquisition Corp (DWAC), the SPAC facilitating the listing of Trump Media & Technology Group through a merger, approved the deal on Friday. As a result, Donald Trump's ownership stake in 'Truth Social' saw a significant increase following the completion of this agreement.