Donald Trump set to receive $1.25 billion worth of Trump Media stock in DJT earnout bonus
Trump set to receive additional 36 million shares
- Former President Donald Trump is poised to receive an additional 36 million shares of Trump Media on Tuesday — an “earnout” bonus worth more than $1.25 billion, at Monday’s price.
- The shares would be worth more than $1.25 billion at current prices.
- Trump Media, which owns the Truth Social app, set aside these so-called earnout shares for him if the company’s stock met a minimum share price benchmark.
Trump, who is the presumptive Republican presidential nominee, was in New York for opening statements in his criminal hush money trial
- That earnout is contingent on the benchmark being hit for 20 trading days within a 30-trading-day period, beginning March 25. Tuesday is the 20th day — and it is very unlikely that DJT will fall below the benchmark price by the close of trading then.
- The 36 million additional shares Trump seems set to get would be added to the 78.75 million shares he already owns, as the company’s majority shareholder.
- When the earnout shares are added to his existing stock, Trump’s total stake in Trump Media would be worth more than $4 billion on paper, at $35 a share.
Trump Media has the power to issue a total of 40 million earnout shares
- Trump was in a New York City courtroom Monday, listening to opening statements in his criminal hush money trial. Court resumes Tuesday for the presumptive Republican presidential nominee.
- The merged company, whose full name is Trump Media & Technology Group Corp., began public trading under the DJT ticker on March 26, at an opening price of $70.90 per share.
- It remains to be seen if the issuance of the earnout shares to Trump will affect the share price of Trump Media.
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