Trump Media & Technology Group’s stock is tumbling again after the company announced a massive new influx of shares. The struggling company is rapidly losing money, and a new stock offering could help it stay afloat.

But there’s a downside to going back to the market with new shares: A new public stock offering of 21.5 million shares announced Monday would add more than 15% more stock to the publicly available shares of the Truth Social owner. That would substantially devalue existing shareholders’ stakes — including that of former President Donald Trump.

Shares of TMTG (DJT) fell more than 15% Monday. The stock had rocketed higher in recent months in anticipation of merging a blank-check acquisition company with Trump’s media business. But it has lost more than 60% of its value from its peak on March 26, the day after the merger was completed and it started trading publicly as TMTG.

  • SeaJ@lemm.ee
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    7 months ago

    Usually, if you’re running for president, you want to invest money into political or media machines that are going to create true believers for you

    No. Usually if you are running for president, you put your investments into a blind trust.

    • TropicalDingdong@lemmy.world
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      7 months ago

      No. Usually if you are running for president, you put your investments into a blind trust.

      what with his faith in humanity and all.

      The 70’s are over. Carter putting the farm in a blind trust was rewarded with Republicans bribing Iranian terrorists to keep the hostages longer. Disco is dead.

      • SeaJ@lemm.ee
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        7 months ago

        The 70s, the 80s, the 90s, and the 2000s. Presidents aside from Trump have always put their investments in a blind trust.

          • SeaJ@lemm.ee
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            7 months ago

            I’m correcting you when you implied that this a practice of decades ago. It is not. It has been the standard. Trump is the exception. I don’t foresee that changing. So Trump failing to do so is even worse than if it was some outdated practice.

              • marx2k@lemmy.world
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                7 months ago

                Even the blind trust knows that’s a terrible investment.

                In all seriousness, what’s the over under whether the company will be delisted from nasdaq this month?

                • TropicalDingdong@lemmy.world
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                  7 months ago

                  not gonna happen. it’s taken some hits but there is a good enough chance that Trump will be the next president that it’s not going anywhere.