Trump Media & Technology Group (TMTG) announced it is in discussions with TAE Technologies and Texas Ventures Acquisition III Corp. regarding a potential spin-off of businesses including Truth Social into a new publicly traded company.
Summary
- Trump Media & Technology Group is exploring a plan to spin off Truth Social and related businesses into a new publicly traded company (SpinCo).
- SpinCo shares would be distributed to existing TMTG shareholders before closing its pending merger with TAE Technologies, after which SpinCo would merge with SPAC Texas Ventures Acquisition III.
- The companies stressed that discussions are ongoing, with no definitive agreement reached and no guarantee the transaction will be completed.
Truth Social could become standalone public firm
The contemplated transaction would follow the previously announced merger between TMTG and TAE Technologies, a fusion energy company.
Under the proposed structure, shares of the newly formed entity, referred to as “SpinCo,” would be distributed to TMTG shareholders of record before the closing of the TAE merger. SpinCo would then merge with Texas Ventures Acquisition III, a special purpose acquisition company (SPAC), effectively taking Truth Social and related assets public as a standalone entity.
Following the spin-off, TAE’s businesses, along with certain existing TMTG assets, would remain within the current public company. The companies said the broader strategy is designed to create shareholder value by forming “pure play” businesses with distinct strategies and operational focus.
TMTG operates Truth Social, its flagship social media platform, along with Truth+, a streaming television service, and Truth.Fi, a fintech and investment brand. TAE Technologies focuses on fusion energy development and also operates subsidiaries in energy storage, power delivery systems, and cancer treatment technologies.
All parties emphasized that discussions remain ongoing and no definitive agreement has been reached. Any transaction would require board approvals, regulatory clearance, shareholder consent, and satisfaction of customary closing conditions. The companies cautioned there is no assurance that a deal will materialize or on what timeline.
If completed, the restructuring would mark a significant corporate shift, separating TMTG’s media operations from its technology and energy ambitions while positioning Truth Social as an independent public company.
Source: https://crypto.news/trump-media-explores-truth-social-spin-off/
