Subscription deals include $1.5B in common stock and $1B in convertible secured notes
Trump Media, owner of the social media platform Truth Social, announced Tuesday it secured a $2.5 billion private placement offering to build one of the largest Bitcoin treasuries held by a public company.
Subscription agreements with approximately 50 institutional investors include $1.5 billion in common stock and $1 billion in convertible senior secured notes.
CEO and Chairman Devin Nunes emphasized the significance of the investment. “We view Bitcoin as an apex instrument of financial freedom.
"This investment will fortify Trump Media against financial institution harassment and discrimination, while enabling synergies for subscription payments, a utility token, and other planned transactions across Truth Social and Truth+,” he said.
The offering comprises $1.5 billion in common stock at the last market price and $1 billion in convertible notes at a 35% premium conversion price.
The funds will bolster Trump Media's balance sheet, which already includes $759 million in cash, cash equivalents and short-term investments as of the first quarter.
