Digital World Acquisition (US:DWAC)2025-02-14 21:28Business Combination - The company completed a Business Combination on March 25, 2024, resulting in the renaming to Trump Media & Technology Group Corp. from Digital World Acquisition Corp.[21] - The aggregate merger consideration paid to TMTG securityholders was $875 million[41] - As of April 26, 2024, 40 million Earnout Shares were issued based on the price performance of TMTG common stock during the Earnout Period[31] - The company has a three-year Earnout Period to determine the contingent right to Earnout Shares[30] Market Risks - The company is exposed to market risks including interest rates, credit access, and foreign currency exchange rates, which could negatively impact revenue growth and profitability[537] - The company’s investments through repurchase agreements are subject to interest rate risks, impacting future earnings[538] Financial Management - The company maintains cash and cash equivalents primarily with large financial institutions, minimizing credit risk[540] - The company aims to preserve principal while maximizing income from investments, potentially investing in a variety of securities[541] - The company has not used derivative financial instruments to manage interest rate risk exposure[539] - The company’s financial market risk management strategy includes maintaining a diverse portfolio of cash equivalents and investments[541]