United Atlantic Ventures trump mediaAccording to the company, approximately 11 million shares of the company’s stock were sold. Regulatory filing Thursday, weeks after a federal judge cleared the way for the deal.
The move leaves UAV, an investment partnership between former “The Apprentice” contestant Andrew Liczynski and Wes Moss, with just 100 shares of Trump Media, which operates the Truth Social app.
The amount UAV received from stock sales over the past week was not disclosed.
However, given the price range at which DJT stock traded during this period (and trading volumes were unusually high), UAV would have received between $128 million and $170 million for the company’s stock. This suggests that.
UAV was allowed to relinquish its 5.4% stake in Trump Media after a lock-up agreement barring insider sales expired on September 19.
UAV is the only insider known to have sold shares after that date.
Mr. Liczynski and Mr. Moss pitched the idea of a social media company to former President Donald Trump, star of “The Apprentice,” and co-founded Trump Media with him in 2021.
The two subsequently fell out with Trump and have since been embroiled in a lawsuit with Trump Media over stock.
Trump owns 114.7 million DJT shares, more than 56% of Trump Media.
After the UAV stock sale, the only company with more than 5% of Trump Media stock is ARC Global Investments II LLC, which owns just over 11 million shares.
DJT stock closed Thursday at $13.98 per share, down about 1%.
Republican presidential candidate Trump said on September 13 that he had “no intention whatsoever” of selling the company’s stock after the lock-up period ends.
CNBC has reached out to lawyers for Trump Media and UAV for comment on the sale by Liczynski and Moss’ companies.
According to a filing with the Securities and Exchange Commission, UAV owned 7.525 million shares of Trump Media stock as of March 25, the same day the company announced that it had acquired blank check company Digital World Acquisition Corp. completed the merger, which took Trump’s company public.
UAV then acquired an additional 3.44 million shares, which were issued “without further consideration based on the performance of our common stock,” Trump Media said. SEC filing September 5th.
As a result, UAV now holds over 10.96 million shares.
Thursday’s Securities and Exchange Commission filing disclosing UAV’s sale of most of these shares does not list the date or price of the sale.
Trump Media warned in the Florida lawsuit that UAV plans to sell “all of its stock as soon as possible” after the lock-up period ends.
UAV’s disclosure of the sale in its 13G filing with the SEC follows the court’s Sept. 6 ruling. federal judge in delaware In favor of UAV in a lawsuit against Odyssey Transfer and Trust Company, a securities transfer company.
The ruling prohibited Odyssey from interfering with UAV’s transfer of Trump Media stock to UAV when the lock-up period expires.
Odyssey had indicated before the ruling that it would take instructions from Trump Media regarding stock transfers, but Trump Media declined to say whether it would allow Odyssey to lift transfer restrictions without favoring shareholders. was.
Trump Media shares soared in their debut trading on the Nasdaq, reaching an intraday high of $79.38 per share, giving the company a market capitalization of more than $10 billion.
However, DJT’s price quickly fell.
The company has suffered a decline in recent months, wiping out more than 80% of its post-merger peak value. The company’s market capitalization is currently below $2.8 billion.
Analysts view DJT as a meme stock, and its wild price movements have been driven less by business fundamentals and more by investor support for Trump, the company’s majority shareholder and Truth Social’s biggest draw. That’s what it means.
Trump Media has reported net losses of about $344 million on revenue of less than $2 million in its last two quarterly earnings reports.
