In a dramatic move, Andy Litinsky, co-founder of Trump Media & Technology Group and former contestant on “The Apprentice”, has sold nearly all of his stake in Truth Social, unloading approximately $100 million in shares.
United Atlantic Ventures, which Litinsky manages, reported a drop from over 7.5 million shares to just 100, reflecting ongoing turmoil within the company. Regulatory filings released on Thursday highlight this significant shift in ownership.
This decision comes amid a protracted legal battle between Litinsky and Trump Media over the shares. While the stock price has seen considerable volatility, Litinsky’s decision to sell signals a lack of confidence in the company’s future. An attorney for United Atlantic Ventures did not immediately respond to requests for comment, leaving analysts questioning the implications of this mass sell-off.
The lifting of lock-up restrictions that previously prohibited insiders from selling shares appears to have prompted Litinsky’s move. This has led to increased speculation about whether other major shareholders, including former President Donald Trump, might follow suit.
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Trump, who owns 114.75 million shares in Trump Media, recently declared he would not sell any of his stake. As of the most recent filings, his stake was valued at approximately $1.6 billion based on Thursday’s closing price of $13.98, a significant drop from $6.2 billion in mid-May.
Truth Social’s stock has faced a tumultuous period, sinking to record lows earlier this week. The company has been under scrutiny as it navigates both legal challenges and questions about its long-term viability. Following the news of Litinsky’s share sale, the stock dipped further in after-hours trading, exacerbating investor concerns.
