Shares of Trump Media & Technology Group Corp. DJT, -14.09% tumbled 15.6% in toward a three-month low in premarket trading Monday, after the social-media platform filed to issue new shares, and for current stockholders to sell off nearly 150 million shares.
The stock, which bears the initials of former President Donald J. Trump, were on track to open at the lowest price seen since Jan. 19. The sell-off also comes as Trump’s first criminal trial, over the alleged cover-up of hush-money payments, is about to begin. The company has filed to issue up to 21.5 million new common shares, and for the sale of up to 146.1 million shares by selling stockholders.
The filing said the number of shares being offered for sale represents about 256% of the current public float, or shares currently available for the public to trade, and about 107% of the outstanding shares of as Jan. 31. The stock has plummeted 47.4% so far in April, while the S&P 500 SPX, 0.40% has slipped 2.5%.
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