At 8:30am this morning, SRM Leisure disclosed that Justin Solar can be reverse merging his Tron group into its NASDAQ itemizing.
Inside one minute of the pre-market announcement, SRM rallied from $1.70 to $2.25 per share. Simply an hour later, shares hit $6.70.
The 290% rally was comprehensible. In any case, Solar is a star in his personal proper, and his first-ever deal to checklist his flagship Tron group on a significant US inventory trade was at all times going to attract consideration.
The deal additionally benefited from Donald Trump model title recognition. Second to Elon Musk and only a few others, Solar ranked among the many most beneficiant particular person donors to Trump’s presidential marketing campaign.
Furthermore, funding financial institution Dominari Securities, which is behind Solar’s SRM-Tron merger, has its headquarters inside Trump Tower and boasts Donald Trump Jr. and Eric Trump as advisors.
The Monetary Occasions had additionally reported that Eric Trump was “expected” to have a direct position at Tron Inc., Solar’s post-SRM merger entity however he has since taken to X to disclaim the declare.
For the 2 days earlier than its announcement, SRM shares jumped 67%.
Pre-announcement run-up on no information
Up to now this 12 months, shares of SRM have been buying and selling in penny inventory territory between roughly $0.30 and $0.90. In late Could, it introduced a $5 million capital elevate, however company communications went principally quiet in June.
It’s tough to know all the sources of Wall Avenue chatter and rumors that would have pushed speculators into SRM on Thursday and Friday — properly forward of this morning’s announcement.
A confused speculator tried to credit score SRM’s theme park merchandise for Thursday’s rally. Others merely famous its uncommon rally from penny inventory territory or carried out technical evaluation.
