Trump Media drops Truth Social spin-off plan amid TAE fusion merger

A plan to separate Truth Social from Trump Media & Technology Group is no longer moving forward.

Trump Media and Technology Group as well as TAE Technologies said on Wednesday ‌they have decided "not to spin off Truth Social and certain other TMTG media assets into a new publicly listed company."

Founded by U.S. President Donald Trump and known for its Truth Social platform aimed at conservative audiences, TMTG has faced challenges scaling its media business amid competition from larger social networks and uneven user growth.

TMTG went down around 1% in premarket trading after falling over 38% so far this year.

TMTG said it remains focused on completing its merger with TAE and targets closing the deal in the fourth quarter of this year or sooner.

The latest announcement indicates that the companies have chosen to keep Truth Social and the related media assets within the existing corporate structure rather than creating a standalone public entity.

Moreover, this recent statement also represents a reversal from discussions earlier in 2026.

Previously, Trump Media had disclosed in February that it was exploring a restructuring in which Truth Social could become a separate public company while the broader organization pursued its proposed merger with TAE.

The talks involved TAE and a SPAC called "Texas Ventures Acquisition III," but no final agreement had been reached.

Notably, the latest decision was disclosed on June 10; however, companies did ‌not provide a reason for walking back the idea of a Truth Social spin-off.