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Trump’s Social Media Company Approved To Go Public, Potentially Netting Former President Billions

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NEW YORK — Donald Trump is returning to the stock market, and the former president will profit handsomely.

In a vote on Friday, shareholders of Digital World Acquisition Corp., a publicly traded shell company, approved a merger with Donald Trump’s media business. That means Trump Media & Technology Group, whose flagship product is social networking site Truth Social, will soon be listed on the Nasdaq stock exchange.

trump

Trump’s Social Media Company Approved To Go Public, Potentially Netting Former President Billions

Trump is slated to possess most of the combined business, or approximately 79 million shares. Multiply it by Digital World’s Thursday closing stock price of $42.81; his investment may be worth more than $3 billion.

The approval comes when the likely Republican presidential nominee faces his most expensive legal battle: a $454 million judgment in a fraud case.

However, Trump will not be able to cash out the deal’s windfall until the company’s board alters a “lock-up” provision prohibiting insiders from selling freshly issued shares for six months.

Trump’s presidential campaign has yet to immediately reply to a request for comment.

When a publicly traded shell company agrees to buy a private company, the target company joins a stock exchange once shareholders approve the merger. If recent movement in Digital World’s stock is any indicator, Trump Media stockholders may be in for a wild ride.

Instead of large institutional and experienced investors, many of Digital World’s investors are small-time investors who are either Trump supporters or looking to cash in on the craze. Those stockholders helped the stock more than quadruple this year in anticipation of the merger’s completion. After the deal was completed on Friday, shares plunged as much as 12% before recovering to roughly 2.5% by lunchtime.

Trump’s previous venture into the stock market could have gone better. Trump Hotels and Casino Resorts went public in 1995 with the DJT ticker, which Trump Media will trade under. In 2004, Trump’s casino company filed for bankruptcy and was delisted from the New York Stock Exchange.

Before Friday’s approval, Digital World’s regulatory filings detailed several of the dangers that its investors and the Truth Social owner will face once Trump Media becomes public.

trump

Trump’s Social Media Company Approved To Go Public, Potentially Netting Former President Billions

According to the business, one concern is that Trump, as a dominant stakeholder, would be entitled to vote in his interests, which may only sometimes be in the best interests of all shareholders. Digital World also mentioned the high incidence of failure for new social media platforms, as well as Trump Media’s prediction that it will lose money on its operations “for the foreseeable future.”

Trump Media lost $49 million in the first nine months of last year, bringing in only $3.4 million in income and incurring $37.7 million in interest expenses.

Trump Media and Digital World first announced their merger ambitions in October 2021. Prior to Friday’s decision, the merger faced a number of lawsuits in addition to a federal investigation.

Truth Social debuted in February 2022, one year after Trump was barred from major social media platforms such as Facebook and Twitter, the platform now known as X, following the Jan. 6 revolt at the US Capitol. He has now been restored in both, but Truth Social remains his primary platform for spreading his ideas.

Thursday evening, Trump praised Truth Social on social media: “TRUTH SOCIAL IS MY VOICE, AND THE REAL VOICE OF AMERICA!!! MAGA2024!!!”

trump

Trump’s Social Media Company Approved To Go Public, Potentially Netting Former President Billions

So far, Trump Media has not published the number of Truth Social users. However, research firm Similarweb says there were approximately 5 million active mobile and web users in February. That’s significantly less than TikTok’s more than 2 billion and Facebook’s 3 billion, but it’s still more than other “alt-tech” rivals like Parler, which has been down for nearly a year but plans to relaunch, and Gettr, which had less than 2 million visitors in February.

With a public offering, Trump’s social media company will soon be required to reveal more information.

Private corporations are responsible to their owners, whereas public companies are liable to the shareholders who own the company’s stock. Once public, Trump Media will be compelled to report quarterly financial results and relevant news to federal regulators.

In this regard, Truth Social confronts some of the same issues that X has been dealing with: mainstream sponsors who do not want to be connected with hate speech and other problematic content.

SOURCE – (AP)

Kiara Grace is a staff writer at VORNews, a reputable online publication. Her writing focuses on technology trends, particularly in the realm of consumer electronics and software. With a keen eye for detail and a knack for breaking down complex topics, Kiara delivers insightful analyses that resonate with tech enthusiasts and casual readers alike. Her articles strike a balance between in-depth coverage and accessibility, making them a go-to resource for anyone seeking to stay informed about the latest innovations shaping our digital world.

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Canada Fisheries Officers Seize Elvers Worth $500K at Toronto Airport

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Canada Fisheries Officers Seize Elvers
The seized elvers are worth between $400,000 and $500,000: CTV News

Fisheries and Oceans Canada (DFO) officers and Canada Border Services Agency (CBSA) officers seized roughly 109 kg of unlawful elvers at Toronto Pearson International Airport. The elvers were scheduled to be transferred overseas.

The seized elvers are worth between $400,000 and $500,000.

An investigation into this matter for violations of the Fisheries Act is currently underway.

“The magnitude of this elver seizure is an important development,” said Diane Lebouthillier, Minister of Fisheries, Oceans, and the Canadian Coast Guard, in a statement. “It reflects not only the work of Fisheries and Oceans Canada, but also the collaborative efforts of many other government agencies and departments.

“Once again, our message is crystal clear: do not travel to Nova Scotia to illegally fish or export elvers this year, enforcement officers will be waiting for you.”

This seizure was the product of a coordinated operation combining officials from the DFO’s Conservation & Protection Directorate and the National Fisheries Intelligence Service, as well as the CBSA Commercial Operations District and intelligence teams.

The federal government banned the lucrative elver fishery on March 11 following violence and intimidation during last year’s fishing season in Nova Scotia and New Brunswick.

Elvers are often flown to Asia and grown to maturity before being sold for food, with mature eels utilized in unagi dishes at sushi restaurants.

The baby eels are valued approximately $5,000 per kilogram, more than lobsters, scallops, or salmon, making them the most valuable fish by weight in Canada.

The DFO announced in March that no elver fishing would take place this year due to safety and conservation concerns. So far, cops have made 149 arrests and seized around 207.7 kg of elvers.

According to federal data, 149 people have been arrested for elver-related crimes this year, with approximately 208 kilos recovered.

Elvers, the fascinating baby eels

Elvers, the fascinating baby eels

Elvers are tiny, transparent young eels that migrate from the ocean into freshwater rivers and streams. These little snake-like organisms make an astonishing journey, swimming thousands of miles to their destination. Elvers perform an important role in the life cycle of eels, eventually maturing into the adult eels we know.

Their migration is a spectacular natural spectacle. Elvers crawl in large groups upstream, overcoming barriers such as waterfalls and dams. Once in freshwater, they will mature for years before returning to the sea to breed and repeat the cycle. Elvers face numerous dangers, including habitat loss and over fishing, making conservation efforts critical for these extraordinary migratory.

 

 

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CNN Pay Tribute to Alice Stewart: A Very Special Woman Dead at 58

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Alice Stewart

Alice Stewart, a longtime political strategist and CNN political pundit who worked on multiple Republican presidential campaigns, has died. She was 58. CNN anchor Wolf Blitzer joins Jessica Dean to reflect on Stewart as a friend and coworker.

According to law enforcement officials, Stewart’s body was discovered outside in the Belle View community of northern Virginia early Saturday morning. There is no indication of foul play, and officers assume a medical emergency occurred.

“Alice was a very dear friend and colleague to all of us at CNN,” CNN’s CEO Mark Thompson wrote in an email to employees Saturday. “A political veteran and Emmy Award-winning journalist who brought an exceptional spark to CNN’s coverage, known throughout our bureaus not only for her political acumen, but also for her unfailing kindness. Our emotions are heavy as we lament such a great loss.”

Alice Stewart was born March 11, 1966, in Atlanta.

Stewart began her career as a local reporter and producer in Georgia before relocating to Little Rock, Arkansas, to become a news anchor, she told Harvard International Review. She went on to work as the communications director for then-Arkansas Gov. Mike Huckabee before taking on a similar role for his presidential campaign in 2008.

She previously worked as the communications director for former Minnesota Rep. Michele Bachmann’s 2012 Republican presidential campaign, as well as former Pennsylvania Sen. Rick Santorum, a former CNN analyst. Stewart most recently served as the communications director for Texas Sen. Ted Cruz’s 2016 GOP campaign.

“Alice was wonderful, talented, and a dear friend,” Cruz wrote in a post on X. “She lived every day to the fullest, and she will be deeply missed.”

CNN hired Stewart as a political pundit ahead of the 2016 election, and she appeared on “The Situation Room with Wolf Blitzer” as recently as Friday to provide insight on the day’s political headlines.

“We always invited her to come on my show because we knew we would be a little bit smarter at the end of that conversation,” Blitzer stated to Jessica Dean on “CNN Newsroom.” “She helped our viewers better appreciate what was going on and that’s why we will miss her so much.”

Alice Stewart: A Very Special Woman Dead at 58

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Diddy Won’t Be Prosecuted Over Cassie Ventura Hotel Video

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Diddy Won’t Be Prosecuted Over Cassie Ventura Hotel Video
Sean “Diddy” Combs won’t be prosecuted over a 2016 video: Image Fox News

According to the Los Angeles County District Attorney’s Office, Sean “Diddy” Combs will not face charges in connection with a 2016 video that appears to show him abusing then-girlfriend Cassie Ventura in a hotel.

“We find the images extremely disturbing and difficult to watch,” the office of Los Angeles District Attorney George Gascón posted on Instagram Friday (May 17). “If the conduct depicted occurred in 2016, unfortunately we would be unable to charge as the conduct would have occurred beyond the timeline where a crime of assault can be prosecuted.”

Combs appears to push Ventura to the ground near an elevator bank, kick her multiple times while she is on the ground, and pull her down a hallway in the footage, which CNN received on March 5, 2016.

According to the statement, law enforcement has not presented the Los Angeles County District Attorney’s office with “a case related to the attack depicted in the video against Mr. Combs, but we encourage anyone who has been a victim or witness to a crime to report it to law enforcement or reach out to our office for support from our Bureau of Victims Services.”

The video’s contents resemble an assault complaint Ventura made in a now-settled lawsuit against Diddy in November, in which she also claimed one incidence of rape and another of Combs forcing her to have sex with male sex workers while he masturbated.

“The gut-wrenching video has only confirmed Mr. Combs’ disturbing and predatory behavior,” said Ventura’s attorney, Douglas Wigdor, in a statement to Billboard. “Words cannot express the courage and fortitude that Ms. Ventura has shown in coming forward to bring this to light.”

Ventura and Combs had an on-and-off romance for 11 years until splitting in 2018. In the lawsuit, she claimed she met Combs in 2005, when she was 19 and he was 37. After signing with his Bad Boy Records company, Ventura alleged that Combs “lured” her into a sexual relationship in which he “asserted complete control” over her life.

Combs has faced four further sexual misconduct complaints after Ventura filed hers late last year. The entrepreneur resigned as chairman of his digital media business Revolt in November, and he reportedly sold his interest in the company in March. Also in March, federal officials raided Combs’ houses in Los Angeles and Miami “in connection” with a federal sex trafficking probe, CNN reported.

Combs has flatly denied all allegations of sexual assault leveled against him. “Let me be absolutely clear: I did not do any of the awful things being alleged,” he declared in a statement shared on social media on December 6. “I will fight for my name, my family and for the truth.”

Diddy

Sean “Diddy” Combs

Sean “Diddy” Combs is a multi-talented mogul who has made his mark in music, fashion, and business. Born in Harlem, he began his career as a talent director at Uptown Records. Combs later created his own label, Bad Boy Records, which launched the careers of musicians such as The Notorious B.I.G. and Mary J. Blige.

His debut album, “No Way Out,” achieved multi-platinum success, cementing his reputation as a rapper and producer. Diddy expanded his business interests, launching the apparel line Sean John and investing in beverage businesses such as Ciroc and DeLeon. With an estimated net worth of $900 million, he is one of hip-hop’s wealthiest individuals.

Combs is a presence in Hollywood, appearing in films and television series while also influencing music and society. His commercial savvy, paired with his musical talents, have elevated him to the status of rap icon.

Source: Billboard

 

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