On a brisk afternoon in New York City, following a court session that set the stage for his trial concerning alleged hush money payments tied to extramarital affairs, former US President Donald Trump made his way to 40 Wall Street. This appearance on March 25, 2024, underscored a pivotal moment in Trump’s post-presidential life, which has been marred by a slew of legal battles, financial strains on his campaign, and reported operational losses across his business ventures.
Despite these challenges, Trump’s financial fortunes experienced a dramatic upswing. In a matter of days, his net worth surged by over $4 billion, reaching an estimated $6.5 billion, as reported by Bloomberg. This financial news giant, which keeps tabs on the world’s 500 wealthiest individuals, attributed Trump’s windfall to a successful merger. Trump Media & Technology Group, his social media enterprise, merged with Digital World Acquisition Corp. (DWAC), a move that significantly boosted Trump’s financial standing.
Trump, who holds nearly 80 million shares or about 58% of Trump Media, saw his stake’s value skyrocket to $4 billion on paper, thanks to DWAC’s closing share price of $49.95. The merger’s success was further highlighted as DWAC announced it would begin trading under the ticker symbol DJT the following Tuesday.
The surge in DWAC’s share price by 35% on Monday came on the heels of a New York appeals court decision that notably reduced the cash amount Trump needed to secure a bond. This bond was crucial for preventing the immediate payment of a $454 million civil fraud penalty. Initially, Trump faced the daunting task of raising over $550 million for this purpose. However, the court’s ruling required him to post just a $175 million bond and temporarily halted the judgment’s enforcement for 10 days. Trump confidently stated he had the necessary funds to cover this bond.
This financial reprieve and the media company merger propelled Trump into the Bloomberg Billionaires Index for the first time in his life, marking a significant milestone at the age of 77. However, the sustainability of this newfound wealth remains uncertain. Trump is restricted from selling his DWAC shares for six months, and the stock’s value has been notably volatile.
In the first nine months of 2023, Trump Media reported less than $3.5 million in revenue and a net loss of $49 million. Critics, including MSNBC’s Stephanie Ruhle, have labeled Trump’s media company a “meme stock,” heavily reliant on Trump’s persona.
Bloomberg’s estimation of Trump’s net worth was meticulously calculated, drawing from ethics disclosures mandated for presidential candidates, public filings related to key real estate holdings, and thorough reporting by the news outlet’s staff. This assessment paints a complex picture of Trump’s financial landscape, highlighting both the recent boon to his wealth and the challenges that lie ahead.