Omar Marks | Light Rocket | Getty Images
One of the largest shareholders in President-elect Donald Trump’s media company has sold off nearly all of his shares, Supervision filing show.
Financial firm ARC Global Investments II and its manager Patrick Orlando no longer own more than 5% of the shares, disclosures to the U.S. Securities and Exchange Commission on Thursday night showed. Trump Media in stock.
According to documents filed with the SEC, Orlando, the former CEO of the company that listed Trump Media through the SPAC merger, and ARC, the sponsor of the merger, currently hold only 30,147 shares of DJT, accounting for approximately 0.01% of the company’s common shares.
Trump media coverage At the beginning of September, ARC owned more than 11 million shares, equivalent to 5.4% of the company’s outstanding shares.
In mid-September, a Delaware judge found that Trump Media violated its agreement with ARC and must grant it additional shares. The judge ordered both parties to work to ensure that ARC can sell or transfer its shares in a timely manner before the lock-up agreement expires on September 19.
As of Friday morning, ARC’s reduced stake was worth about $850,000. ARC attorney Steven Fineman declined to comment on the sale.
Orlando and ARC said in the filing that the action requiring them to report the change occurred on Sept. 30.
The move by ARC and Orlando comes more than a month after another major shareholder, United Atlantic Ventures, sold nearly all of its shares in DJT.
Trump Media, which operates the Truth social app, suffered a severe sell-off in late summer and by the end of September was trading near its post-merger lows. But stocks rose sharply in October, recouping most of their losses.
The surge comes on the eve of the presidential election between Trump and Vice President Kamala Harris. Analysts say many retail investors in Trump Media are fans of the Republican leader, buying shares in the company to support him and bet on his political fortunes.
Trump’s majority stake in Trump Media is worth more than $3 billion and he has said he has no plans to sell his shares.
After winning another term in the White House, Trump used truth social networking sites to announce his picks for key Cabinet positions and other positions in the administration. He has also posted on the Elon Musk-owned X website, which has a much larger audience than Truth Social.
A Trump media spokesperson did not immediately respond to CNBC’s request for comment on Thursday’s SEC filing.
Orlando reportedly faces lawsuit Florida and delaware Investors accused him and ARC of wrongfully stripping them of their shares.
About The Author
