Shares of Trump Media (DJT) fell at the Opening Bell Thursday, with just hours to go until original Owners will be able to Start Selling their Stake.
The company, which owns the Social Media platform Truth Social, was down 5% at the Market Open.
Trump owns nearly 57% of DJT’s outstanding Shares. That Stake at Thursday Morning’s Price was worth about $1.7 billion, almost half of Trump’s estimated On-Paper Net Worth.
But Trump, and other Early Investors, have been Barred from Selling their Shares, under a Lockup Agreement that took effect when the Company went Public in late March. Those Restrictions Expire on Thursday, 9/19/2024, Afternoon.
Trump Media has Acknowledged in Rregulatory Filings that the End of the Lockup could spur Large Sales of the Company’s Stock, and even the Market’s perception of a Sell-Off could drive down DJT’s Stock Price.
Trump, the Majority Shareholder, said Friday that He has No plans to Sell his Stake. But other Company Insiders might try to Cash-In as soon as they get a chance to do so.
TheCcompany’s Fortunes are tied up with those of Trump, whose use of Truth Social makes Him a main draw to the Platform. After soaring in its Public Trading Debut, Trump Media has suffered a Monthlong Stock Slump.
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