Trump Jr.-backed PublicSquare buying Tandym software assets to boost fintech offering

Shares of small cap PSQ Holdings (PublicSquare), whose shareholders include Donald Trump Jr., are up today, November 10, after the company announced an agreement to acquire certain assets of payment platform Tandym. One of Tandym’s partners is the streaming service Spotify.

PublicSquare shares jumped 10.30% in early trading today and jumped 5.83% when the regular session opened.

Investors were reacting to the company’s announcement that it had entered into an agreement to acquire key assets from fintech startup Tandym. PublicSquare will pay up to $1 million in cash and another $5.75 million in shares. The company’s market capitalization now stands at about $82.6 million. The transaction is expected to close in December.

According to the press release, the pending acquisition marks an important step in PublicSquare’s strategic transformation into a full-service fintech platform. The deal will expand the company’s product line to include turnkey credit and debit programs. For merchants partnering with PSQ Holdings, the acquisition is expected to reduce costs by lowering interchange fees, as Tandym’s model bypasses traditional payment systems – allowing brands to capture the margin that would otherwise go to legacy operators. Tandym’s solutions are already used by Shopify, as well as marketing platforms Attentive and Klaviyo.

PSQ Holdings launched in 2021 with PublicSquare, a family-friendly marketplace with the ambition of becoming the “new Amazon.” The company then expanded into new areas: the payments system and a premium diaper and baby wipe brand called EveryLife. Even before its public debut, PublicSquare attracted high-profile investors, including Donald Trump Jr., the son of the current U.S. president.

However, in August, PSQ Holdings informed investors of a strategic shift: it would focus on developing its fintech operations. To that end, the company is exploring a strategy of holding reserves in digital assets, including investments in bitcoin, stablecoins, and other digital assets. It also flagged plans to sell the PublicSquare marketplace and the EveryLife brand.

The company is still evaluating options to monetize these businesses, it noted in its third-quarter report. Revenue from these segments is now classified as coming from discontinued operations. At the same time, revenue from the fintech business grew 37% year over year to $4.4 million.

The strategic pivot has drawn Wall Street’s attention. A month ago, PSQ Holdings had no analyst coverage; now, two analysts rate the stock “buy,” MarketWatch shows. Their average target price of $4 per share implies upside of 122% versus the November 7 close.

The AI translation of this story was reviewed by a human editor.