Trump Media & Technology Group Corp has announced a deal to acquire critical assets for its content distribution network, causing volatility in premarket trading of its DJT stock on Friday. The company plans to finance the deal by issuing 5.1 million shares and $17.5 million over three years. To support its growth strategy, Trump Media has secured a standby equity purchase agreement with Yorkville Advisors, allowing for the issuance of up to $2.5 billion in shares.
The new network will stream content through the Truth Social platform and standalone apps. Trump Media has also secured licensing rights from Perception Group, Inc., for CDN technology, with restrictions on Perception’s ability to compete with Trump Media in the U.S market. Additionally, there is an option for Trump Media to acquire Perception outright in the future. The streaming service will offer news shows, religious channels, and family-friendly content.
Former President Donald Trump, the majority stockholder of Trump Media, has challenged President Joe Biden to a debate with no moderators and fewer rules to test Biden’s competence under pressure. Trump criticized the structured format of their previous debate and believes a less constricted format would allow Biden to explain his policies effectively. Following the first debate, there have been calls for Biden to withdraw from seeking reelection.
Despite the volatility in premarket trading on Friday, DJT shares were trading slightly lower at $30.90 at the last check. This content was produced with AI tools and reviewed by Benzinga editors before publication