Trump Media & Technology Raises $2.5B for Bitcoin Treasury

By Ahmed Jameison • Tuesday, May 27 15:23 • Permanent Link

Trump Media and Technology Group Corp. (NASDAQ, NYSE Texas: DJT) has recently announced a significant financial move, entering into subscription agreements with around 50 institutional investors to issue and sell approximately $1.5 billion in the company’s common stock and $1.0 billion in principal amount of 0.00% convertible senior secured notes. This private placement offering is expected to result in aggregate gross proceeds of approximately $2.5 billion, and is set to close on or about May 29, 2025.

The company plans to utilize the proceeds to create a bitcoin treasury, marking one of the largest bitcoin treasury deals of any public company. This move aims to solidify Trump Media’s position in the cryptocurrency space, with CEO and Chairman Devin Nunes emphasizing the significance of holding cryptocurrency as a crucial part of the company's assets.

Following this offering, the company's liquid assets are set to surge to over $3 billion, as it plans to place bitcoin on its balance sheet alongside existing cash, cash equivalents, and short-term investments totaling $759.0 million as of the end of the first quarter of 2025.

Moreover, the offering comprises approximately $1.5 billion in Trump Media common stock at the market and $1.0 billion in convertible notes at a conversion price equal to a 35 percent premium.

In addition, Yorkville Securities, LLC and Clear Street LLC acted as co-lead placement agents, with BTIG, LLC and Cohen & Company Capital Markets acting as co-placement agents. Cantor Fitzgerald & Co. acted as financial advisor, while Nelson Mullins Riley & Scarborough LLP is serving as legal counsel to the company, and Reed Smith LLP is serving as legal counsel to the placement agents.

Crypto.com and Anchorage Digital are set to provide custody for Trump Media’s bitcoin treasury.

This press release emphasizes that the offering shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in the United States or any other state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Today the company's shares have moved -10.19% to a price of $23.10. If you want to know more, read the company's complete 8-K report here.

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