Blitz Bureau
NEW YORK: Shares of Donald Trump’s media company fell for a second session on September 17 ahead of the end of restrictions on share sales by the former U.S. President and other insiders.
Trump Media & Technology Group, which is 57% owned by the Republican presidential candidate, fell 3.6%, bringing its loss this week to 7%. Trump Media’s stock jumped 12% last week after Trump told reporters he does not plan to sell his now $1.9 billion stake in the company, reversing weeks of steady losses partly due to worries about the end of insider trading restrictions related to its stock market debut in March.
Newly listed companies often see pressure on their stocks ahead of the end of so-called lock-up restrictions due to expectations that insiders may sell their shares and flood the market.
Trump Media, which operates the Truth Social app, saw its value balloon to nearly $10 billion following its Wall Street debut, lifted by retail traders and Trump supporters who see it as a speculative bet on his chances of securing a second term as president. Trump Media’s market capitalisation on September 17 stood at $3.3 billion, with shares at $16.68, down about 75% from March closing peak of over $66.
