Trump SNS Merger SPAC Stock Soars 70%... Warrants Surge 690%

Impact of Trump's Launch of Own SNS Truth Social and SPAC Merger Announcement

[Asia Economy New York=Correspondent Baek Jong-min] The stock price of the Special Purpose Acquisition Company (SPAC) that decided to merge with the social network service (SNS) created by former U.S. President Donald Trump is soaring on the New York Stock Exchange.

[Image source=AP Yonhap News]

According to the Nasdaq market on the 21st (local time), the Digital World Acquisition Unit (DWACU) SPAC is trading at $18, up 77% as of 10:30 a.m. Class A shares, DWAC, are also up 57%. The warrants, DWACW, are showing a phenomenal surge of 690%.

The surge in stock prices on this day is analyzed to have been triggered by the announcement made the day before about the merger with former President Trump's own social network, "TRUTH Social." U.S. investment media unanimously reported that the news of former President Trump listing the SNS he directly established through a merger stimulated the stock price.

Former President Trump's side announced the launch of "Trump Media & Technology Group" (TMTG) and the social network it operates, "TRUTH Social," the day before, and stated that TMTG plans to merge with DWAC and be listed on the stock market.

DWAC valued the initial worth of the merged company at $875 million. This SPAC is registered in Miami, Florida, where former President Trump resides.

SNS companies such as Facebook and Twitter blocked former President Trump's accounts after the January 6 U.S. Capitol riot, curbing his influence.

Former President Trump said he would grow TMTG and TRUTH Social to counter the SNS companies that expelled him from their platforms.