Shares of Trump Media and Technology, the parent company of Truth Social, soared Friday after Donald Trump said he would not sell his majority stake.
“I have absolutely no intention of selling,” he told reporters during a briefing at this California golf club, according to CNBC.
After trading was briefly halted, Trump Media stock surged as much as 26% before paring gains, reversing a selloff from earlier this week when Kamala Harris’s strong debate performance raised the odds that she would win the presidential election.
Trump owns about 57% of the company’s shares, and next week’s expiration of the lock-up period that prevents insiders from selling had loomed over the price.
Shares have already been on a wild ride this year, acting like a barometer of Trump’s election prospects. The stock skyrocketed following Trump’s first debate with President Joe Biden in June and again after Trump survived an assassination attempt in July.
Yet, since Biden stood aside and Harris stepped up to take his place in the presidential race, Trump Media’s shares have lost more than 50% of their value.
Despite the $6 billion drop in market cap, Trump was steadfast Friday in his ownership, calling Truth Social “great for me.”
“But I don’t want to sell my shares. I’m not going to sell my shares,” he added. “I didn’t do it for the money. I did it because I really wanted to have a strong voice, and it’s a great voice for me,” he said. “And as long as my voice is on there, it’s going to always be good.”
Meanwhile, several other insiders have already signaled they plan to sell shares or have already done so, including CEO Devin Nunes.
Trump Media stock started trading on the Nasdaq in March soon after merging with a blank-check company called Digital World Acquisition Corp. At the time, the former president was granted about 114.75 million shares.
The company itself is still posting a loss. Revenue for the first half of the year was just $1.6 million, with cash flow deep in negative territory.
As Trump’s legal expenses mounted with his campaign falling short of the massive fundraising hauls posted by Harris, speculation had grown that he might sell his shares for more cash.
But even if he doesn’t sell Trump Media stock, the end of the lock-up period also frees him up to borrow against his stake. And experts have said he may not be required to disclose that.