Stock in the Trump Media & Technology Group that owns the Truth Social internet site has plunged to a new low as the disgraced former president goes on trial in New York on charges of illegally paying hush money to a woman he allegedly had an affair with before the 2016 election.
When the NASDAQ stock exchange opened this morning, the stock went into freefall and stood at 27.44 as of 11:22 a.m., a new low since the stock began trading on March 26. On that day, was valued at 26.83 per share.
A report that the company has filed to sell more stock is also dragging down the price of shares, with CNBC reporting, “The company’s intent to issue more common stock was made public Monday morning in a ‘preliminary prospectus filed to the Securities and Exchange Commission. The shares cannot be issued until a registration statement with the SEC goes into effect.”
“The company also seeks to offer the resale of up to 146.1 million shares of stock from ‘selling securityholders,’ 114.8 million of which are held by Trump himself. Trump owns 78.8 million shares of the company, and stands to obtain 36 million “earnout shares” if the stock stays above a certain price for enough trading days,” the report added.
Earlier this month, the company revealed it had lost $58 million despite paying out millions in bonuses to top Trump Media executives.
