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This development follows the completion of the company’s business combination with Digital World Acquisition Corp. on March 25, 2024.
The registration statement, filed as Form S-1, outlines DJT’s intention to make certain shares and warrants available to existing security holders. However, DJT will not directly benefit from the resale of securities by these selling security holders, nor will it profit from any future sale of registered securities unless connected to the exercise of outstanding warrants for cash.
Despite the registration of these securities, including shares held by individuals like President Donald Trump and other security holders, certain restrictions will apply. The company’s directors, officers, affiliates, and key figures like President Trump remain subject to lockup periods or other restrictions preventing the immediate sale of these shares.
The announcement has had a notable impact on the stock, with shares of DJT falling over 16% following the news. Investors appear cautious amid uncertainty about potential future sales.
