Jamie Spencer
The co-founders of Trump Media & Tech Group, Andrew Litinsky and Wesley Moss, who were instrumental in launching the Truth Social platform, have reportedly sold nearly all their shares in the company. The sale, valued at around $100 million, came after the expiration of a lockup agreement that had previously restricted major investors, including former President Donald Trump, from selling their stakes.
Stock Sale Follows Lockup Agreement Expiration
According to regulatory filings, United Atlantic Ventures (UAV), the investment firm owned by Litinsky and Moss, divested nearly its entire 5.5% stake in Trump Media & Tech Group. The stock sale took place after the lockup period expired on September 19. The agreement, put in place after Trump Media went public in March, was designed to prevent significant shareholders from selling their shares immediately following the company’s IPO.
The timing of the sale has attracted attention, as Litinsky and Moss, who played key roles in developing the Truth Social platform, chose to exit shortly after the restriction lifted. The exact reasons behind their decision to sell have not been publicly disclosed.
Trump Holds Onto His Shares
Despite the stock sell-off by his co-founders, former President Donald Trump has made it clear that he has no intention of selling his shares in Trump Media. In a recent statement, Trump addressed speculation, saying, “A lot of people think that I will sell my shares… they’re worth billions of dollars, but I don’t want to sell my shares. I don’t need money.”
Trump continues to use Truth Social as his main platform for communicating with the public, especially after being banned from Twitter (now X) in the aftermath of the January 6 Capitol riot. His continued involvement in the company underscores the role Truth Social plays in his media strategy, as he remains deeply connected to the platform.
The Birth of Truth Social
Litinsky and Moss, both former contestants on season two of The Apprentice, initially pitched the concept of Truth Social to Trump after he was banned from mainstream social media platforms. Their vision was to create a space for free speech, unencumbered by the restrictions of major social networks. The co-founders were also key players in facilitating the merger that ultimately took Trump Media public.
Legal Dispute Between Co-Founders and Trump Media
However, the relationship between Trump Media and its co-founders has not been without conflict. Lawyers representing Trump Media previously claimed that Litinsky and Moss’s investment firm, United Atlantic Ventures, was not entitled to company shares due to alleged mismanagement. This legal dispute came to a head when the co-founders sought to sell their stake in the company.
Earlier this month, a federal judge in Delaware ruled in favor of UAV, allowing Litinsky and Moss to sell their minority stake in Trump Media. The lawsuit, filed against Odyssey Transfer and Trust, a securities transfer agent, was aimed at ensuring that the co-founders could move forward with the sale of their stock.
What Lies Ahead for Trump Media?
With the sale of nearly all their shares, Litinsky and Moss have effectively distanced themselves from the company they helped build. However, Trump’s firm stance on maintaining his stake in the company suggests that Truth Social will continue to operate as his primary platform. The implications of this stock sale and the future direction of Trump Media remain to be seen, especially as the company navigates legal challenges and ongoing competition in the social media landscape.
