Shares of Trump Media & Technology are down 17% in early trading Wednesday, following last night’s debate between Donald Trump and Vice President Kamala Harris.
The former president can start selling shares of Truth Social's parent company next week starting on Sept. 19 when a lockup provision ends, if he chooses to do so. That's because the lockup provision prevented company insiders from selling newly issued shares for six months.
Trump owns nearly 115 million shares of the company, according to a recent filing with the Securities and Exchange Commission. Based on Tuesday's closing price of $18.04, Trump's shares are worth approximately $2 billion.
The question remains if Trump will decide to sell any of his shares. Even though he’d be certain to receive a sizeable payout, the stock is now worth considerably less than it was valued at several months ago. When Truth Social & Technology Group Corp. made its debut on the Nasdaq in March, it hit a high of $79.38.
In morning trading, shares changed hands at $15.45 each. The stock movement also comes after Taylor Swift endorsed Harris for president shortly after the debate ended.
Trump Media runs the social media platform Truth Social, which Trump created after he was banned from Twitter and Facebook following the Jan. 6, 2021, Capitol riot. Based in Sarasota, Florida, the company has been losing money and struggling to raise revenue. It lost nearly $58.2 million last year while generating only $4.1 million in revenue, according to regulatory filings.
Shares of Trump Media have been considered a meme stock by some market experts, which is a nickname given to stocks that get caught up in buzz online and shoot way beyond what traditional analysis says they’re worth. The stock has fluctuated for the past several months, with trading largely driven by individual investors who are typically considered less sophisticated than day traders.
Republican presidential nominee former President Donald Trump speaks to reporters in the spin room after a presidential debate with Democratic presidential nominee Vice President Kamala Harris, Tuesday, Sept. 10, 2024, in Philadelphia. (AP Photo/Matt Slocum)
NEW YORK (AP) — Sean “Diddy” Combs is due in court Tuesday on federal sex trafficking and racketeering charges. An indictment says the music mogul “engaged in a persistent and pervasive pattern of abuse toward women and other individuals.”
Combs was arrested late Monday in Manhattan, roughly six months after federal authorities conducting a sex trafficking investigation raided his luxurious homes in Los Angeles and Miami.
Over the past year, Combs has been sued by people who say he subjected them to physical or sexual abuse. He has denied many of those allegations, and his lawyer, Marc Agnifilo, said outside the courthouse Tuesday morning that Combs, 54, would plead not guilty and that he would “fight like hell” to get his client released from custody.
Here is the Latest:
Prosecutors say the violence Combs exacted on his victims was so extreme that he should be denied bail.
In a detention letter written for the federal judge overseeing the music mogul's case, prosecutors described how Combs would assault women, employees and others “by throwing objects at them, choking them, pushing them, kicking them, and slamming them against walls and on to the ground.”
The letter says the violence was sometimes spontaneous and sometimes premeditated, including “resorting to kidnapping and arson when the defendant’s power and control were threatened.”
Prosecutors say Combs’ “disposition to violence cannot be reasonably prevented through bail conditions.”
The letter also says Combs should be denied bail because he has already reached out to potential witnesses in the case and that further attempts at witness tampering are likely.
U.S. Attorney Damian Williams says Combs did not act alone.
During a news conference Tuesday, Williams said Combs’ security and household staff, as well as operators high up in the music industry were complicit. Williams says they cleaned up damaged hotel rooms and "delivered large quantities of cash to Combs to pay for the commercial sex workers.”
Williams says the investigation is ongoing, and is urging "anyone with information about this case to come forward and to do it quickly.”
U.S. Attorney Damian Williams, whose office is bringing the case against Sean “Diddy” Combs, says the music mogul led a criminal organization that carried out kidnapping, forced labor and sex trafficking, among other crimes.
Speaking at a news conference Tuesday, Williams said authorities will seek to have Combs detained while he awaits trial.
He spoke before a display board showing images of some of the items recovered in searches of Combs’ homes in Los Angeles and Miami in March, including AR-15s and a drum magazine containing dozens of rounds of ammunition. He says agents also seized electronic devices that contain images and videos of sexual encounters.
Williams says: “Combs led and participated in a racketeering conspiracy that used the business empire he controlled to carry out criminal activity, including sex trafficking, forced labor, kidnapping, arson, bribery, and the obstruction of justice.”
Combs' lawyer, Marc Agnifilo, has said he will fight to keep his client free. He says Combs is innocent and will plead not guilty.
Comb’s former longtime girlfriend, whom he was seen attacking in a March 2016 security video, has declined to comment on the federal case against him.
Douglas Wigdor, an attorney for the singer Cassie Ventura, said in a statement released before Combs was due to appear in court Tuesday that neither he nor his client have anything to say on the matter.
Wigdor says: “We appreciate your understanding and if that changes, we will certainly let you know.”
Ventura reached a settlement with Combs last November, one day after filing a lawsuit containing allegations of beatings and abuse by the music producer.
Outside the Manhattan courthouse early Tuesday, Combs’ lawyer, noted that his client came to New York City voluntarily because they knew the charges were coming.
Marc Agnifilo said: “Not a lot of defendants do that. He came to New York to, to basically engage the court system and start the case.”
Though the indictment was not unsealed at the time of his comments, Agnifilo said they know what the charges will be and that Combs is “innocent of these charges.” He vowed to “fight like hell” to get Combs released from federal custody.
The indictment alleges Combs hit, kicked and threw objects at victims, and sometimes dragged them by their hair, causing injuries that often took days or weeks to heal. It says Combs also threw people around, choked and shoved them.
Prosecutors say his employees and associates witnessed his violence and, rather than intervening, helped him cover it up, including by preventing victims from leaving, and locating and contacting victims who attempted to flee.
The indictment describes Combs as the head of a criminal enterprise that engaged or attempted to engage in activities including sex trafficking, forced labor, interstate transportation for purposes of prostitution, drug offenses, kidnapping, arson, bribery and obstruction of justice.
He’s accused of striking, punching and dragging women on numerous occasions, throwing objects and kicking them, and enlisting his personal assistants, security and household staff to help him hide it all.
Lawrence Stark, of the Bronx borough of New York, makes comments in support of Sean "Diddy" Combs, outside Manhattan federal court, Tuesday, Sept. 17, 2024, in New York. (AP Photo/Eduardo Munoz Alvarez)
