Washington — Former President Donald Trump has purchased an extra $1.8 billion in shares of Trump Media, according to a regulatory filing this week.
Trump was granted an additional 36 million shares in the firm that controls his social media network, Truth Social, in exchange for the company’s stock meeting specific price targets. Based on Wednesday morning’s market price, this takes his overall holding to more than 114 million shares, valued at $5.7 billion.
Trump Awarded 36 Million More Trump Media Shares Worth $1.8 Billion After Hitting Price Benchmarks
Trump, the probable Republican presidential nominee, now owns almost two-thirds of the company’s outstanding shares.
Trump Media & Technology Group shares have risen sharply recently, closing Tuesday at $49.93. To get the new shares, Trump merely needs the stock to trade over $17.50 for 20 consecutive trading days.
Trump Media joined the Nasdaq after merging with Digital World Acquisition Corp., a special purpose acquisition company (SPAC). These mergers provide emerging companies with a faster and easier path to publicly listing their shares.
Trump Awarded 36 Million More Trump Media Shares Worth $1.8 Billion After Hitting Price Benchmarks
On March 26, the first day of trading following Trump Media’s merger with Digital World Acquisition, shares of the newly combined business reached nearly $80 apiece in intraday trading before closing at $57.99.
Less than a week after its glitzy stock market debut, Trump Media revealed that it lost roughly $58.2 million last year, sending its stock down more than 21%. The $50.5 million profit the company reported in 2022 was significantly lower than the 2023 losses, according to a regulatory filing.
Trump Awarded 36 Million More Trump Media Shares Worth $1.8 Billion After Hitting Price Benchmarks
The company’s shares fell to roughly $22 in the following weeks before recovering in mid-April.Truth Social was created in February 2022, one year after Trump was barred from major social media platforms such as Facebook and X, previously Twitter, following the January 6 revolt at the US Capitol. He has been reinstated to both but has remained with Truth Social.
Trump Media’s stock sank 8.6% to $45.64 in morning trading on Wednesday.
SOURCE – (AP)
