Key Takeaways
- Trump Media will raise $2.5 billion to create one of the largest Bitcoin treasuries among public companies.
- The treasury deal includes $1.5 billion in common stock and $1 billion in convertible notes.
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Trump Media and Technology Group Corp (TMTG), which operates Truth Social and other Trump-branded media and technology platforms, announced Tuesday its plans to raise $2.5 billion in a bid to build a Bitcoin treasury.
The company will adopt a playbook akin to that of Michael Saylor’s Strategy, offering $1.5 billion in stock and $1 billion in convertible senior secured notes to a select group of roughly 50 institutional investors. The transaction is expected to close on Thursday, May 29.
In a Tuesday statement, Trump Media CEO Devin Nunes said the company views Bitcoin as the “apex instrument of financial freedom” and will now hold crypto as a key part of its corporate assets. Bitcoin briefly touched $110,700 on the company’s Bitcoin treasury plan, per TradingView.
“Our first acquisition of a crown jewel asset, this investment will help defend our Company against harassment and discrimination by financial institutions, which plague many Americans and US firms, and will create synergies for subscription payments, a utility token, and other planned transactions across Truth Social and Truth+,” Nunes noted. “It’s a big step forward in the Company’s plans to evolve into a holding company by acquiring additional profit-generating, crown jewel assets consistent with America First principles.”
The convertible notes will carry a zero percent interest rate and feature a conversion price set at a 35% premium. As of the end of Q1 2025, the company reported holding $759 million in cash, cash equivalents, and short-term investments.
Yorkville Securities, LLC and Clear Street LLC are serving as co-lead placement agents, with BTIG, LLC and Cohen & Company Capital Markets acting as co-placement agents. Crypto.com and Anchorage Digital will provide custody services for the Bitcoin treasury.
This is a developing story.
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