In this Dec. 31, 2020, file photo, President Donald Trump arrives on the South Lawn of the White House, in Washington. Trump's first post-White House book will be, like so much else about him, a departure from other former presidents. “Our Journey Together” is scheduled for Dec. 7, 2021, but not through a traditional New York publisher. (AP Photo/Evan Vucci, File)
PALM BEACH, Florida (AP) — Donald Trump’s new social media company and its special purpose acquisition company partner say the partner has agreements for $1 billion in capital from institutional investors.
The former president launched his new company, Trump Media & Technology Group, in October. He unveiled plans for a new messaging app called “Truth Social” to rival Twitter and the other social media platforms that banned him following the Jan. 6 insurrection at the U.S. Capitol.
TMTG’s plan is to become a publicly listed company through a merger with the publicly traded Digital World Acquisition Corp., a special purpose acquisition company whose sole purpose is to acquire a private company and take it public.
The institutional investors were not identified in a press release issued Saturday by Trump Media and Digital World. The money would come from “a diverse group" of investors after the two companies are combined, it said.
Digital World said in the release that the $1 billion is above the $293 million (minus expenses) that it may invest.
"I am confident that TMTG can effectively deploy this capital to accelerate and strengthen the execution of its business, including by continuing to attract top talent, hire top technology providers, and roll out significant advertising and business development campaigns,” Digital World CEO Patrick Orlando said in the release.
Trump is listed as chair of TMTG. He will get tens of millions in special bonus shares if the combined company performs well, handing the former president possibly billions of dollars in paper wealth.7 Risk-Off Stocks to Buy as Inflation Remains at Record Levels
Inflation has gone from a transitory problem that would take care of itself to an existential threat that is moving the Federal Reserve to take swift, aggressive action. In January 2022, the Consumer Price Index (CPI) showed inflation in the United States was at its highest level since 1982.
And the market is reacting predictably with what appears to be a shift from risk-on to risk-off assets. This is having a negative effect on many stocks, particularly in the tech sector, that are no longer justifying their extended valuations.
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That’s the focus of this special presentation. We invite you to consider these seven risk-off stocks that look like strong candidates to increase in value even as inflation remains high.View the "7 Risk-Off Stocks to Buy as Inflation Remains at Record Levels"