Video-sharing platform Rumble is set to go public on the Nasdaq through a special-purpose acquisition company (SPAC) merger.
The platform, which positions itself as an alternative to YouTube, hopes to raise $400 million (all numbers USD) in proceeds. The merger transaction with CF Acquisition Corp. VI values Rumble at $2.1 billion.
The Toronto-based startup is known for its right-wing creators and users. It gained popularity for hosting the likes of far-right, pro-Trump cable channel One America News Network, which is currently in a legal battle for allegedly spreading falsehoods related to America’s 2020 election process.
In January, the eight-year-old Rumble launched its own antitrust suit against YouTube parent company Google claiming it rigged search results to give preference to its own video service.
In May, Rumble raised an undisclosed amount of financing led by JD Vance’s Narya Capital, Peter Thiel, and Colt Ventures. Rumble names among its creators former United States president Donald Trump, who has been banned from popular social media sites for his rhetoric and has ties to Rumble investor Colt Ventures, as it’s led by his former advisor, Darren Blanton.
In announcing its SPAC this week, Rumble attempted to frame its service as “the neutral video platform” on a mission to “restore the internet to its roots based on freedom of expression and creativity.” It argues that Big Tech platforms like YouTube and Twitter have “high censorship” and “high partisanship.” The right-wing focused Rumble claims to have had 36 million average monthly active users as of the third quarter of this year.
The SPAC deal is expected to close in the second quarter of 2022, with the expectation that it will be listed on the Nasdaq at that time. Rumble founder and CEO Chris Pavlovski is set to retain voting control as part of the SPAC deal.
Photo from Rumble via LinkedIn