Editor’s note: The article has been updated with details of the acquisition and wording changed for clarity.
Trump Media and Technology Group Corporation (NASDAQ:DJT) stock was volatile during Friday’s trading session.
On Thursday, the company signed a contract to acquire the planned assets. Content Distribution Network (CDN).
TMTG has acquired a non-exclusive, perpetual license to the new CDN technology. Tectonic Group Co., Ltd..
The technology will initially power linear TV streaming through TMTG’s social media platform, Truth Social, and eventually expand into standalone applications.
The transaction also includes the future acquisition of Perception Group, but immediately restricts Perception’s operations in competitive markets in the United States for the next five years.
Trump Media proposed to fund the deal by issuing 5.1 million shares of its common stock and paying $17.5 million over three years.
Additionally, TMTG has secured a standby share purchase agreement. Yorkville AdvisorsThis allowed it to issue up to $2.5 billion in shares at a discount.
The deal gives TMTG flexible access to capital, which it plans to use to acquire more assets and technologies aimed at supporting free expression and reducing the influence of Big Tech on digital communications.
Also read: Trump Media Faces Dilution Concerns After Raising $150M with Warrants
The company emphasizes that the move is part of a broader strategy to improve its service offerings and expand its user base. The company aims to provide a trusted platform for content that is at risk of being canceled by mainstream tech companies, such as news shows, religious channels, and family-friendly content that has been canceled or is in danger of being canceled.
Meanwhile, former President Donald Trump, the largest shareholder of Trump Media, has attempted to prove to President Joe Biden that he is “capable” by proposing a debate without a moderator and with fewer rules.
He criticized the structured format of the previous debate hosted by CNN, which attracted 47.9 million viewers.
According to The New York Times, President Trump said the format would give Biden a platform to explain his policies. report.
He added that the debate would test Biden’s ability to handle pressure.
After the first debate on June 27, several leading Democratic figures and editorial board members called on Biden not to run for reelection.
Price movement: DJT shares were trading at $29.46, down 5.27% at last check on Friday.
disclaimer: This content was created in part with the help of AI tools and has been reviewed and published by Benzinga editors.
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This article What’s Happening in Trump Media & Technology Group Stock on Friday? (Updated) Originally appeared in ~ Benzinga.com
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