2021.12.02 06:38 elmand1991 A COMPLETE breakdown of what just happened, and why this is the GREATEST PIPE DEAL in history! If you're new to investing, make sure you read this! LETS GET GO CLOV APES! I HAVE 2400 SHARES AT CLOV PRICE 18.40 BUT I BELIVE WE CAN BULL THIS ONE!
We'll start from the beginning.
The reason any company trades on a public stock exchange is simple: to raise capital for growing and operating their business.
However, unlike the traditional IPO (initial public offering) route, which takes longer and has significantly more regulations associated with it, TMTG elected to go public through a SPAC (Special Purpose Acquisition Company). That SPAC deal, in this case with DWAC (Digital World Acquisition) will be consummated in a few months after which DWAC will most likely trade as TMTG (but if you ask me MAGA or TRMP would be more badass, lol).
However, after the initial definitive merger agreement between DWAC and TMTG announced on 10/20/21, it's standard for SPACs to go through an additional round of fund raising called a PIPE, which stands for private investment in public equity. Instead of doing a secondary offering, which is what most companies who started trading after a traditional IPO do and simply means the company issues more shares to the public on a stock exchange that in turn raises more money for them, most SPACs elect to raise that money privately through PIPEs.
A PIPE allows large, private investors to come in and receive shares at a discount. So, is that bad for regular retail investors? No! At least not if the terms of the agreement are favorable to them! Companies have to provide an incentive for large, institutional investors to invest in their company, which is why most PIPEs are provided at a STEEP discount and are usually offered for ONLY 10$ a share, which is near the NAV (net asset value) for most SPACs. In other words, most PIPEs are only priced near the net amount of cash most SPACs have on hand.
However, DWAC/TMTG were able to secure what could turn out to be the HIGHEST and GREATEST PIPE deal in the history of SPACs thanks to retail APES AND HODLERS like us who proved to big investors how VALUABLE they believe TMTG really is and can become. According to this article, https://www.reuters.com/markets/us/exclusive-trumps-social-media-venture-seeks-1-billion-raise-sources-2021-12-01/, our PIPE deal would be anchored to the 10-day VWAP average. This is the break down:
10-day anchored VWAP: 45.98$ (The Reuters article mentioned the 10-day anchored VWAP as the benchmark to price the PIPE).
20% discount (according to the article): 45.98*0.2 = 9.19. 45.98 - 9.19 = 36.79$.
IF they price the PIPE ANYWHERE near that range, it's HUGE for us.
It would make it the highest priced PIPE for a SPAC EVER and mean far less dilution for shareholders!
This news couldn't be any greater considering I was expecting something far more limited in the 20-25$ range to be announced.
Trump called these MOFOs up in person. THEY COULDN'T say NO to the MAN!!!
He really came through for us! If this PIPE is priced anywhere at or above 30$, regular shareholders should be thrilled! A high PIPE price like the one being offered to DWAC means it can issue or sell fewer shares to hedge funds and receive the same amount of capital (1 billion) it’s seeking for them.
In other words, fewer shares being issued to reach their capital raise target would mean current shareholders are diluted less and not more. Therefore, the fact that they were most likely able to strike a deal at elevated levels is good and not bad for current investors.
A quote from the article: “Digital World shares soared on Wednesday, as investors welcomed the news that the PIPE could dilute existing Digital World shareholders less than they expected by pricing at a level much higher than the customary $10 per share seen in most mergers with blank-check firms.”
Some idiots over at SPACs got this deal completely wrong are getting ready to short DWAC because they think the high PIPE price is bad for us, lol. They're literally thinking about this backwards! I thought that sub had more OG SPAC investors who actually know what they're talking about!
Some quotes from over there:
u/paperpeddler: Cant wait to short in the am
u/AlwaysBlamesCanada: This makes no sense - the price should be tanking
u/Tfarecnim: So what you're saying is buy puts first thing in the morning, got it.
u/FUPeiMe: So logically people are piling in after hours so they can be first in line... to be diluted.
HAHAHAHA. What makes it even more sad is how many upvotes those idiotic comments received!
GOOD LUCK WITH THOSE PUTS!!!! HAHAHAHAHA!!!!! MAKE THEM PAY. BUY. HODL. BURN ALL SHORTS TO THE GROUND!!!!
To conclude, the fact that large institutional investors would NOT ONLY invest in DWAC but agree to invest in DWAC at SUCH ELEVATED levels that completely exceed any TRADITIONAL PIPE deal is HUGE news for us and EXTREMELY BULLISH!!! I couldn't be happier with this deal. TRUMP REALLY CAME THROUGH FOR US!!!!
Good luck to all!
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2021.12.02 06:38 Saw3nabaw3nah 😌
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2021.12.02 06:38 procryptoclass Fidelity Tired of Waiting on SEC, Heads to Canada for Bitcoin ETF
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2021.12.02 06:38 ColossalDreadmaw132 what's your favourite card art?
2021.12.02 06:38 jamiehenderson1993 Making My (New) Guitar/Music Resources Available
Hi, A few months ago, I made all of my music worksheets available for free, and there was a fantastic response. I've since updated some of them. The link below gives you access to the drive folder.
If you previously downloaded them or have used them for yourself or with students, I would really appreciate if you would consider buying me a coffee with the link below - it would really mean a lot. I love making these sheets, and I hope they are useful. If you have any suggestions for further sheets, please let me know.
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2021.12.02 06:38 1bir UKHSA [Vaccine] Efficacy Stats Death Watch: Week 47
Higher infection rates for vaxxed vs unvaxxed in most age groups. Higher deaths in vaxxed vs unvaxxed for all ages <80. No evidence of a protective effect in pregnancy*.
*Interpret with considerable 'mental error bars': there's some controversy over the estimate of the unvaxxed population, but I'm not aware of a coherent argument for this uncertainty representing a directional bias. (Nor is Norman Fenton, who's way smarter than me.)
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2021.12.02 06:38 -Masqerade- Ark lore
Excluding Genesis, is all ark a simulation or are the survivors clones? (Got into an argument with a friend over this. Curious what others think)
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2021.12.02 06:38 LechiaInc Dr. Reiner Fuellmich - Prof. Mattias Desmet (The Effect of Mass Formation on the Public Health Response)
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2021.12.02 06:38 WarmExamination2882 was browsing on twitch when
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2021.12.02 06:38 Jaxxxz Think you’ll find it’s Vanguard LMAYO
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2021.12.02 06:37 InvaSystem Just packed the Countach LP500S but I see a lot of debating on the tune. Do I do it 233 or 323? (I have the LP400S (and hopefully a thanos soon) for drags.
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2021.12.02 06:37 0n1oN_71 Weapon swap (Pyramid and Legion)
2021.12.02 06:37 BrakumOne Bundles are supposed to feel like we're getting a good deal, and not just an exclusive offer.
Regardless of pricing and all that shit that has been going on about MTX's. Why isn't there a shop where you can buy everything from the shop? No fomo on the battlepass but fomo every week on the shop? Everything should be in the shop at all times (or most stuff). And bundles should take a bunch of stuff from the store and the incentive to buy it would be that it's cheaper than buying the individual parts, making it 'worth it' if you were planning to get two or three things that showed up in a bundle. I understand you probably want people to buy them right now in the fear of them never showing up again but at the same time you're making people not buy them because they never know what's next and something better might come along that is more worth our money.
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2021.12.02 06:37 1kmile What is something you always flex about?
2021.12.02 06:37 akarypid LG Update Center version - stuck cheking for updates
Lately I noticed that LG Update Center gets stuck when checking for updates. It justs sits there showing the "Searching for new installations/updates..." message forever.
At first I thought it was incompatibility with Windows 11as it first-happened after I updated to that. As you can see in that post though, there are people on Windows 10 experiencing the same. I also found this post in notebook review reporting the same issue on Windows 10.
Can you report here if you have the latest update and are experiencing the same? I am on a 17Z90P (the 2021 big 17-inch model).
What I have found is that it seems to be some update the LG Update Center installs, because I noticed the following:
2021.12.02 06:37 inclined- bonten era mikey fanart i did lmao
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2021.12.02 06:37 k_cruu They added "nearby medics"!
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2021.12.02 06:37 yongen96 Not enough being done to prevent teen marriage, says Ahmad Faizal
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2021.12.02 06:37 Xyon-Peculiar Racist Rant ALLOWED on Twitter
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2021.12.02 06:37 brickwallrunner Now that it's officially the Holiday season, let's not forget why we're celebrating in the first place: Our Lord and Savior, Gundou Mirei
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2021.12.02 06:37 Chickenwithnuggets Remembering chapter 2. Day 6: Season 6 (I posted this at the end of the day cause I didn’t have time earlier.)
2021.12.02 06:37 hoaxcoast Mark Ritson's Mini MBA in Marketing
I've just graduated with a degree in marketing but I would really like further study.
I've heard great things about Mark Ritson's Mini MBA in Marketing but just cannot afford it at this current time.
Is there any way to access the course video/information for free? I'm happy to not get credited for completing the course, I just really want to learn the information.
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2021.12.02 06:37 saenbeatz [FREE] The Kid Laroi X Iann Dior Type Beat - "Warmth"
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2021.12.02 06:37 Cccmyr I got scammed
Never thought i would be scammed like this because i normally do my research, double check everything and use hardware wallets etc.. But yesterday when the hosky NFT’s should have gone live their website was down. Then there was an message popping up on discord that they posted a tweet on Twitter which had the title “It appears WordPress trial cannot handle the traffic...”. Immediately after that there was another tweet inside the main tweet with the message “mint is live” with an address. I remember thinking “these guys are really genius”. “Making sure their website is down to make people lose their minds. Then tweeting out a message to make people more insane and to top it of with a tweet inside the tweet to go mint”. I immediately send my 69 Ada to it to came to the conclusion it was a fake address and i let myself got scammed. Let my mistake be a lesson to you all. Always do your research and double check. Stay safe!
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2021.12.02 06:37 Esperaux The Prison Memoirs of a Japanese Woman - Kaneko Fumiko
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