Trump Media shares plunge another 15% to $27.80/share losing 63% since going public.

Sharing is Caring!

Donald Trump’s social media startup tumbled on Monday, extending a two-week slump, after the company took a first step toward allowing the former president and other insiders to capitalize on their stakes.

Trump Media & Technology Group Corp., parent of T Social, filed to register shares, including those linked to warrants. The move could ultimately bring forward sales from insiders that are currently not permitted until September.

See also  Is 2025 Going To Look Like A Hollywood Disaster Movie?

Shares slumped 15% to $27.83 as of 9:50 a.m. in New York, the lowest level since January. Warrants, which are tied to the stock and can be exchanged with cash for shares of the company, sank 6.9% to $12.75. The company has had its market value slashed by more than $5 billion from a peak after debuting in March.

The slump means the paper windfall for the former president has dropped to $2.3 billion from more than $5 billion in a matter of weeks. However, if the stock can hold above the $17.50 mark, Trump and insiders would be in line to get another 40 million shares to divvy up. Even after the latest slide, that so-called earnout would be worth $1.2 billion.

See also  Trump Presser on Drone Events: “ Something Strange is Going On”: Staying Away from his Golf Resort.

The company registered as many as 146 million common shares, as well as up to 21 million shares that are issuable upon the exercise of warrants. The filing also registered up to 4 million warrants to purchase common stock. All securities being registered are either held by or underlie securities held by existing holders of Trump Media.
https://finance.yahoo.com/news/trump-media-plunges-registering-shares-130049015.html

AC


76 views