Trump Media & Technology Group (TMTG) has announced plans to raise up to $12 billion through a comprehensive securities offering, sparking widespread speculation about its potential for additional Bitcoin (BTC) acquisitions.
While the company hasn’t officially disclosed the purpose behind the fundraising, recent activities suggest crypto could be a significant part of its strategy. Just last week, TMTG raised around $2.5 billion, reportedly to bolster its Bitcoin holdings, further fueling curiosity about its financial direction.
$12 Billion Capital Raise Strategy
According to a recent filing, TMTG will offer a mix of common stock, preferred stock, debt securities, warrants, rights, and units. Notably, the company plans to sell 84.6 million common shares at $0.0001 each, including:
- 55.8 million shares to institutional investors via private placement at $25.72/share, totaling approximately $1.44 billion
- 28.8 million shares issuable upon conversion of 0.00% convertible senior notes due 2028, totaling about $1 billion
The company retains the flexibility to sell shares at different prices through a variety of channels, including underwriters, dealers, and agents.
TMTG clarified in its prospectus:
“We will receive proceeds from the issuance and sale of our common stock, preferred stock, debt securities, warrants, rights, or units. We will not receive any proceeds from the sale of Shares by the Selling Securityholders pursuant to this prospectus.”
Prior Bitcoin Purchase Adds Fuel to Speculation
Earlier reports indicated TMTG had raised $3 billion, out of which $2.5 billion was confirmed to be used for Bitcoin purchases. The funds came from the sale of $1.5 billion in stock and $1 billion in convertible notes priced at a 35% premium. These Bitcoin holdings are now secured with Crypto.com and Anchorage Digital as custodians.
Given this precedent, analysts and crypto watchers are closely watching whether Trump Media’s $12B securities raise signals more BTC buys on the horizon.
