Trump Media’s Stock Sees Uptick After Major Shareholder Sells Stake
In a surprise move, shares of Trump Media surged 5.58% on Friday, closing at $14.76 per share, following the sale of nearly 11 million shares by major shareholder United Atlantic Ventures, LLC. The investment partnership, founded by former “Apprentice” contestants Andrew Litinsky and Wes Moss, had held a 5.4% stake in the company, but retained only 100 shares after the sale.
The sale comes on the heels of the expiration of a lockup agreement, which had restricted Trump and other early investors from selling their shares. Although the exact amount UAV received from the sale is unknown, estimates suggest it could be between $128 million and $170 million.
Trump Media, which operates the social media app Truth Social, has seen its stock plummet 77.76% since its market debut in late March. The company’s success is heavily dependent on Trump’s popularity and continued use of the platform. Despite this, Trump has stated he has no intention of selling his nearly 57% stake in the company.
The recent uptick in Trump Media’s stock follows a six-day losing streak, during which the company hit a new 52-week low. As of Friday’s close, the company’s market capitalization stood at $2.954 billion.
The sale of UAV’s stake marks a significant shift in the company’s ownership structure, and raises questions about the future of Trump Media. With the lockup agreement now expired, it remains to be seen how other early investors will respond. One thing is certain, however: Trump Media’s stock will continue to be closely watched in the coming weeks and months.
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