What Happened to Trump Media & Technology Group Stock (NASDAQ: DJT) on Friday?

Trump Media & Technology Group Corp (DJT) stock showed volatility during premarket trading on Friday after announcing a deal on Thursday to acquire critical assets for its planned content distribution network. The deal will be financed by issuing 5.1 million shares and $17.5 million over three years. Additionally, Trump Media has secured a standby equity purchase agreement (SEPA) with YA II PN, Ltd., managed by Yorkville Advisors to support its growth strategy. This agreement will allow Trump Media to issue up to $2.5 billion in shares over three years.

The new network will stream via the Truth Social platform and standalone apps in the future. Trump Media anticipates obtaining non-exclusive, perpetual licensing rights from Perception Group, Inc., for CDN technology. Perception Group will also face five-year restrictions in the U.S. market to prevent competition with Trump Media, with a potential future purchase option for Trump Media to buy Perception outright. The streaming service will offer news shows, religious channels, and family-friendly content that faces cancellation risks.

Former President Donald Trump, the majority stockholder of Trump Media, has challenged President Joe Biden to a debate with no moderators and fewer rules to test Biden’s competence. Trump criticized the structured format of their previous debate hosted by CNN and believes this new format will provide Biden a platform to explain his policies. The debate would aim to test Biden’s competence under pressure. Following their first debate on June 27, key Democratic figures and editorial boards have called for Biden to withdraw from seeking reelection.

DJT shares were trading lower by 0.64% to $30.90 premarket at the last check on Friday. Please note that this content was partially generated with the assistance of AI tools and was reviewed and published by Benzinga editors.