Trump Media & Technology Group Corp. (DJT) announced that it is in discussions to spin off its Truth Social platform into a separate, publicly traded company. The spin‑off is planned to take place after the closing of DJT’s $6 billion merger with fusion‑energy firm TAE Technologies, which was announced on December 18, 2025.
Under the proposed structure, the newly formed Truth Social entity would merge with Texas Ventures Acquisition III, a special‑purpose acquisition company that completed its IPO on April 22, 2025. DJT shareholders would receive shares of the new company before the merger with TAE is finalized, allowing DJT to retain its digital‑asset treasury and other businesses while separating the social‑media platform into its own public entity.
DJT’s Q1 2025 financials provide context for the spin‑off. The company reported a net loss of $31.7 million, a dramatic improvement from the $327.6 million loss in Q1 2024, and revenue of $821.2 k, up 7% from $770.5 k in the prior year. The company also held a cash balance of $759 million as of March 31, 2025, underscoring its liquidity position as it pursues diversification.
The spin‑off is part of a broader strategy to create “pure play” companies, a move that could unlock value for shareholders and clarify each business’s focus. DJT’s investment in TAE Technologies—aiming to build a commercial fusion reactor by 2030—represents a significant diversification from its core social‑media operations. By separating Truth Social, DJT can concentrate on its digital‑asset treasury, financial services ventures such as Truth.Fi and Truth+, and its stake in Bitcoin, while the new entity focuses on the social‑media platform’s growth and monetization.
Market reaction to the announcement was muted. In pre‑market trading, DJT’s stock rose modestly, but the company’s year‑to‑date performance has declined about 18% as of February 27, 2026, reflecting ongoing investor concerns about the company’s broader strategy and financial performance.
CEO Devin Nunes has previously described fusion as “the most dramatic energy breakthrough since the onset of commercial nuclear energy in the 1950s,” underscoring the high‑profile nature of the TAE partnership and the potential upside of the spin‑off for investors seeking exposure to emerging energy technologies.
The spin‑off and concurrent merger signal a strategic pivot for DJT, positioning the company to pursue high‑growth opportunities in both social media and fusion energy while providing investors with clearer, more focused investment options.
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