Updated Dec 4, 2021 - Politics & Policy

Trump social media group raises $1 billion from undisclosed investors

Dan Primack

Illustration of a happy Facebook emoji that resembles Donald Trump — Illustration: Sarah Grillo/Axios

Donald Trump's social media startup on Saturday announced that it secured $1 billion in new investment as part of its ongoing efforts to become publicly traded via a blank check company.

Between the lines: None of the investors were identified, which is highly unusual for this sort of transaction.

Details: This is a so-called PIPE investment at around $34.36 per share.

That's a 20% discount to the SPAC's 5-day trading average through Dec. 1, but still much higher than where a typical SPAC trades before its merger is complete.
The PIPE's per share price could be adjusted up or down, based on how the stock performs once the merger closes.

What to watch: Trump Media & Technology Group still has not named a CEO, although the former President is listed as chairman, and does not plan to publicly launch any products until early next year.

Go deeper: Trump deal could spark SPAC crackdown

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Trump social media group raises $1 billion from undisclosed investors

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