Former U.S. President and current Republican presidential candidate Donald Trump talks about the economy, inflation and manufacturing during an Alro Steel campaign event in Porterville, Michigan, August 29, 2024.
Bill Pugliano | Getty Images
shares Trump Media Shares fell at the open Thursday, just hours before former President Trump is expected to be able to begin selling his nearly $2 billion stake.
The company, which owns social media platform Truth Social, trades on Nasdaq under the symbol DJT, saw its shares fall 5% at the open.
Republican presidential candidate Trump owns nearly 57% of DJT’s outstanding shares. At Thursday morning’s prices, the stake was worth about $1.7 billion — nearly half of Trump’s on-paper valuation net worth.
Trump Media (DJT) stock price
But Trump and other early investors were barred from selling their shares under a lock-up agreement that took effect when the company went public after merging with a blank-check company in late March.
Those restrictions are set to expire as early as Thursday afternoon. Trump Media acknowledged in a regulatory filing that the end of the lockup period could spur a massive sell-off of the company’s stock, and even the market’s perception of a sell-off could depress DJT’s stock price.
Major shareholder Trump said on Friday he had no plans to sell his shares. But other company insiders may try to cash out first they get the chance.
The company’s fortunes are closely tied to those of Trump, whose use of Truth Social has made him the platform’s main draw.
After surging in initial public trading, shares of Trump Media have endured a month-long plunge that coincides with Trump’s presidential campaign against Democratic nominee Kamala Harris descending into chaos.
This is developing news. Please check back for updates.
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