Truth hurts: Trump has lost billions as social media company makes another stock move
By
Ross O'Keefe
April 15, 2024 4:57 pm
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Trump Media and Technology Group, the company that owns Truth Social, announced the issuance of 21.5 million new shares on Monday, causing the market to sell off many of its shares en masse as the stock dropped over 15%.
Former President Donald Trump, the majority share owner of TMTG, lost about $470 million in net worth after Monday’s drop, per CNN. The decline started on April 2, when the stock traded at $51.60. It has since nearly halved its value.
The new stock issuance will devalue Trump’s and others’ shares in the company but will allow the company to raise more cash right now. Matthew Tuttle, CEO of Tuttle Capital Management, said the company would be “stupid” not to sell more stock, even amid the stock plunge.
TMTG will not be able to sell those new stocks immediately because they will have to jump through other hoops, including a six-month waiting period, in order to get the move finalized.
https://twitter.com/jeffstorobinsky/status/1779916332319822109more
https://www.washingtonexaminer.com/news/business/2966454/truth-social-trump-lost-billions-media-stock-move/
