TLDR
- Trump Media (DJT) falls 3.19% as spin-off talks for Truth Social continue.
- Truth Social spin-off in talks, Trump Media’s future shifts toward energy.
- TMTG explores spinning off Truth Social, stock drops 3.19% today.
- Trump Media in talks to spin off Truth Social, merging with SPAC soon.
- TMTG stock declines as talks for Truth Social spin-off move forward.
Trump Media & Technology Group Corp. (DJT) shares fell by 3.19% to $10.61 as of 2:51 PM EST today.
Trump Media & Technology Group Corp., DJT
The company, which owns the social media platform Truth Social, confirmed it is in talks with TAE Technologies and Texas Ventures Acquisition III to spin off Truth Social into a separate publicly traded entity. These discussions, still in progress, may lead to the creation of a new company that merges with a special purpose acquisition company (SPAC).
Truth Social Spin-Off Under Discussion
Trump Media announced its exploration of a potential spin-off of Truth Social. The company stated that eligible TMTG shareholders would receive shares in the new entity. Once this spin-off occurs, the new company would merge with Texas Ventures Acquisition III, a SPAC, in a move that aims to bring more attention to the social media platform.
TMTG emphasized that no definitive agreements had been made yet. However, talks are ongoing, and the final outcome remains uncertain. The proposed deal has sparked interest as Truth Social continues to be a platform of political and social significance, particularly in its role in President Donald Trump’s communications.
Stock Fluctuations Amid Discussions
The stock price of Trump Media saw fluctuations throughout the trading day. After initial gains in premarket trading, DJT shares dropped to their current price of $10.61. This decline represents a 3.19% decrease, mirroring a broader trend of volatility for TMTG since its merger with TAE Technologies was first announced.
TMTG’s merger with TAE, valued at over $6 billion, is also expected to close by mid-2026. This deal, which focuses on nuclear fusion energy, marks a significant shift in the company’s direction, moving away from media and technology to a focus on energy solutions. While Truth Social may spin off, Trump Media’s broader strategy continues to evolve with the upcoming merger.
Background and Future Outlook
Trump Media was founded to challenge what it views as the suppression of free speech by larger tech companies. Truth Social, launched by the company, aims to provide an alternative platform to more mainstream social networks.
Despite the volatility in TMTG’s stock price, including a significant drop from above $100 to its current price, the company remains active in strategic shifts. These include the proposed spin-off of Truth Social and its pivot towards energy through the TAE merger. The company’s future will depend on how these plans unfold and their reception by the market.
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