Rumble is a rapidly-growing social media company with strong support among conservative Americans. Next year, Rumble will go public in an SPAC deal valued at more than $2 billion. This transaction would be similar to one that former President Trump envisioned for his right-wing media group.

Rumble plans to merge with Cantor Fitzgerald’s investment firm in order to go public. Cantor Fitzgerald is a Wall Street bank that has been around for decades. Rumble will be left with $300 million cash in the deal, according to the statement released Wednesday night. They expect to be done by the 2nd quarter of next year.

Cantor Fitzgerald’s investment vehicle for Cantor Fitzgerald, already traded publicly under the CFVI ticker and saw shares increase by almost 25%, to $12.

Rumble, which was founded in 2013, bills itself as a “true neutral platform” but has become a popular site among Republicans over the last two years as criticism of existing social media platforms like Facebook and Twitter has increased among conservatives, who say they unfairly limit speech.

“Rumble is designed to be the rails and independent infrastructure that is immune to cancel culture,” Rumble CEO and founder Chris Pavlovski said a statement. “We are a movement that does not stifle, censor, or punish creativity and believe everyone benefits from access to a neutral network with diverse ideas and opinions.”

Rumble exploded in popularity following Trump’s 2020 presidential election loss with its monthly users rising from around 2 million to over 20 million at the end of last year. It now has nearly 40,000,000 users. Fueling that are conservative media personalities who’ve made a home for themselves on Rumble. An investor prospectus for the SPAC highlights figures such as Dan Bongino, Rep. Devin Nunes, Glenn Greenwald—and Trump.

Putting a spotlight on the former president’s presence on Rumble is ironic, since the ex-president has lined himself up as a competitor to Rumble. He plans to create a social media app called Truth Social with a business plan nearly identical to Rumble’s: Offer conservatives a new place away from traditional social media. Right-wingers have also been flocking to Gab, Telegram, and the relaunched Parler.

Trump also wants to make use of a SPAC in order to raise cash and attention for Truth Social. He is taking advantage the trend around blank-check corporations. He and Rumble see SPACs as a great lure. These allow them to bypass traditional funding routes, which might not be available to openly partisan companies. This opens up a path to public markets. This allows them to rally support from users and their supporters, thereby turning them into investors.

The publicly traded, investment vehicle which Trump plans to join has seen its shares swing from less than $10 to over $100 …read more

Source:: Social Media Explorer

Author: Aaron