Trump Media And Technology Group (DJT) Lashes Out With “Fake News” Labels Following Financial Times’ Report Of A $3 Billion Capital Raise

Trump Media and Technology Group (NASDAQ: DJT), the progenitor of a host of products and services that range from the Truth Social app to the upcoming Separately Managed Accounts (SMAs) and ETFs under the Truth.Fi banner, appears to be pushing back against reports of an imminent capital raise.

For the benefit of those who might not be aware, the Financial Times has just come out with a new report that indicates Trump Media and Technology Group is preparing to raise $3 billion in new capital to invest in cryptocurrencies, with $2 billion reportedly being raised via the equity financing route, and another $1 billion via convertible notes.

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Do note that Trump Media and Technology Group's cash balance stood at $777 million as of the end of 2024.

Bear in mind that Trump Media's board approved back in January the diversion of up to $250 million towards setting up customized SMAs and ETFs under the Truth.Fi brand. In April, Trump Media officially launched this service in partnership with the asset management firm, Yorkville America Equities, and the provider of thematic investment solutions, Index Technologies Group.

Trump Media's board has also approved the creation of a "strategic acquisition fund with select investors" to explore "opportunities to partner, merge with and/or acquire other participants in the growing America First Economy ..."

This brings us to the crux of the matter. According to the Financial Times, Trump Media is slated to announce its new capital raise exercise ahead of this week's Bitcoin 2025 Las Vegas event.

However, Trump Media has now cast a pall on these reports by responding to a request for a comment from Reuters with the disparaging "fake news" label:

Trump Media Group responded to a Reuters request for comment by calling both Reuters and the Financial Times "fake news" outlets.

Trump Media and Technology Group shares are up 3.5 percent over the past five trading days. So far this year, however, the stock is down 24.40 percent.