Facing a steep drop in its share price, Donald Trump’s media company is planning to repurchase up to $400 million worth of its own stock. Shares of Trump Media and Technology Group — which runs the Truth Social platform — have fallen 46% since the beginning of the year.
In a statement Monday, the company said the buyback will enhance its “financial flexibility.” The repurchased shares will be retired, meaning they won’t be reissued.
Companies often attempt to boost their stock value by reducing the number of outstanding shares. Trump is the largest shareholder in Trump Media, holding approximately 114 million shares.
Shares of Trump Media rose a little over 2% on Monday. However, the stock appears to have peaked roughly a month after its late-March debut and has been steadily declining ever since.
The company reported earlier this year that it lost $400.9 million in 2024, with annual revenue sliding 12% to $3.6 million.
Founded in 2021 by Donald Trump and others, launched Truth Social in February 2022, and went public in March 2024 through a merger with Digital World Acquisition Corp. (DWAC).
After his victory in the November U.S. presidential election, Trump transferred all of his shares — valued at about $4 billion on paper — to the Donald J. Trump Revocable Trust. His holdings represented more than half of the company’s total stock.
The company also noted Monday that the buyback will be financed separately from its Bitcoin treasury initiative. That plan involves institutional investors purchasing $2.5 billion in Trump Media stock, with the funds used to build a bitcoin reserve.
Trump Media’s cryptocurrency strategy puts it in line with other firms like MicroStrategy, a cloud and mobile software developer that has accumulated billions of dollars’ worth of bitcoin.
Following his victory in the U.S. presidential election in November, Trump gifted all of his shares in the company — valued at approximately $4 billion on paper — to the Donald J. Trump Revocable Trust. His holdings represented over half of the company’s total stock.
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