Former President Donald Trump has witnessed a significant boost in his fortune, now totalling a whopping $1.8 billion increase because of Trump Media & Technology Group. This surge in wealth stems primarily from the success of the company's flagship asset, the social media platform Truth Social.
According to a regulatory filing on Tuesday, Trump Media & Technology Group bestowed upon Trump an additional 36 million shares as an "earnout" bonus. This reward was contingent on the stock maintaining a price above $17.50 per share for at least 20 trading days within a 30-day period.
With this bonus, Trump's control over Trump Media has expanded to encompass a total of 114.75 million shares, trading under the ticker DJT, mirroring his initials. Based on the current market valuation, his entire stake in the company stands at an impressive $5.7 billion.
Trump's overall net worth, as estimated by the Bloomberg Billionaires Index, now stands at approximately $8 billion, with a significant portion tied up in DJT shares.
The recent surge in DJT's stock value has notably contributed to the enhancement of Trump's stake. Despite a turbulent journey since its late March debut on the stock market, Trump Media witnessed a resurgence in its stock value. After initially reaching a peak of $79.38 per share, followed by a period of decline, the stock has recently rallied, marking a 43% surge since last Monday. On Tuesday alone, shares rose by $3.24, reaching $49.93.
However, Trump's newfound wealth remains inaccessible for the time being, owing to a lockup period imposed on him and other executives. This restriction prevents them from selling their shares for another five months, a common practice for newly listed companies to prevent insider selling that could adversely affect stock prices.
Despite Trump Media & Technology Group reporting a loss and modest revenue of $4.1 million last year, a significant portion of its shareholders comprises small investors who ardently support the former president. With approximately 600,000 retail investors, as revealed by CEO Devin Nunes on Fox Business, many anticipate Trump's increased ownership stake to deter short-sellers, and traders betting on the stock's decline.
Celebrations ensued among Trump's supporters on Truth Social, the platform they champion, foreseeing Trump's enhanced stake as a strategic move that could counter short-selling pressures. "Prezz and co just played them like a fiddle," exclaimed one supporter on the platform, reflecting the optimism surrounding Trump's latest financial ascent.
