This is going to be a short thread-starter to just put the whole scam into context. Most people are aware that "Truth Social" is the sole "product" of "Trump Media". Trump Media was acquired by/merged with a SPAC (Special Purpose Acquisition Corporation), sometimes referred to as a "blank check" company. Basically, a SPAC is a way for inside investors to invest in a start-up company without the exposure to the IPO process. The merger resulted in a capital infusion of about $200 million, through the sale of shares at $10/share.
After the merger, 176 million shares of the new "company) (NASDAQ - DJT) were issued, the majority to Donald Trump for -
nothing. Some shares were then made available for sale on the market - 44 million shares worth - about a quarter of the outstanding shares. Those shares are what is determining the "market cap" of Trump Media. That is not actual the value of the company, mind you, just what is it's "theoretically" worth. In reality, that $200 million infusion? It's already been swallowed up by the first quarter's losses.
Trump Media lost more than $300 million last quarter on very little revenueSo how is a company that is worthless on paper, and reality, being traded at nearly 4 times the "par value" of the issued shares? Good question, and the subject of this thread. There is
literally no there, there. Indeed, less than there.
