On Monday, Trump Media & Technology Group announced that it will allow insiders, including former President Donald Trump, to sell their shares earlier than previously agreed upon. This decision caused shares of DJT to drop 18.4%. In a filing with the SEC on Monday morning, the company revealed its intentions to permit the sale of millions of shares restricted by warrants held by investors.
Trump’s ownership stake in the company is currently subject to a lockup period, restricting him from selling shares for about five more months. However, this decision will allow him to sell his shares earlier than scheduled. The primary asset of the company is Truth Social, Trump’s social media network.
The decision to allow insiders to sell shares earlier could lead to around 21.5 million shares flooding the market, potentially diluting existing shareholders by more than 15%. The 18% drop in shares reflects concerns about potential dilution and the impact on investors who may decide to sell in response to the news.
Investors are now left to assess the implications of this development as Trump Media & Technology Group navigates this decision. As this situation unfolds, it will be interesting to see how the market reacts to the possibility of increased selling pressure from insiders.
Hannah, a 4th grader from Franklin Elementary, has a passion for science and is eager…
GlobeScan recently conducted a global public opinion research study on single-use plastic waste, based on…
Harriet T. Fisher has been appointed as the new Chief Technology Officer for the Department…
Chicago sports fans have a lot to look forward to with the release of the…
Vietnam has made great strides in organ transplant technology, but the country lags behind in…
The scientific community commemorates May 20, 1747, as the birthdate of the first randomized clinical…