Trump Media shares tank after company reveals plan to sell more stock

Shares of the former president Donald Trump’s social media company slumped 12% on Monday, extending their string of losses, after the company said in a regulatory filing that it could sell millions of additional shares in coming months.

The filing showed a potential sale of 146.1m shares in Trump Media & Technology Group, including 114.8m shares owned by Trump himself. Documents also listed an additional 21.5m shares that could be sold upon the exercise of certain warrants issued when the company went public through a blank-check merger with Digital World Acquisition Corp.

Shares of the Truth Social parent company have retreated sharply since their market debut on 26 March, falling 60% from the opening price of $70.90. Trump is subject to a lockup agreement that prevents him from personally selling his shares until September, further tying his wealth to the company’s market value. If the price holds, he could reap billions of dollars from his shares.