Trump Media's Roller-Coaster: Insiders Sell Off 11 Million Shares Post Lock-Up

In a significant move, United Atlantic Ventures (UAV), a primary shareholder of Trump Media, recently sold nearly 11 million shares in the company, leaving them with just 100 shares. The sell-off followed the expiry of the company's lock-up agreement on September 19.

UAV's divestiture was revealed in a regulatory filing on Thursday. This investment partnership, formed by former "Apprentice" contestants Andrew Litinsky and Wes Moss, originally held 7.5 million shares of Trump Media as of March 25, coinciding with the company's merger with Digital World Acquisition Corp. UAV received an additional 3.4 million shares on September 5, further bolstering their stake.

The recent sale represents the first known instance of insiders offloading their Trump Media shares following the lock-up period's end.

For Litinsky and Moss, it hasn't been a smooth ride with Trump Media. Despite their initial contributions to the company's creation in 2021, disputes arose, leading to a series of lawsuits from both parties. The duo accused Trump Media of diluting their shares, while the company retaliated with its own legal actions.

Trump himself, who holds 56% of Trump Media shares, has publicly declared that he will not sell his stake. Before this commitment, there was widespread speculation that he might sell to cover his substantial legal fees—a decision that would have netted him billions but at a falling stock value. Since hitting a peak in March, the company's stock has plummeted by over 78%. This volatility makes Trump Media a classic meme stock, with fundamentals out of sync with its earlier high valuations.

In conclusion, UAV’s huge sell-off underscores the turbulence surrounding Trump Media, both in corporate actions and stock performance. As the company navigates these choppy waters, the watchful eyes of investors and analysts remain fixed on its next moves.