Trump Media and Technology Group (DJT) Requests Shareholder Approval for Florida Reincorporation and Increase of Share Pool by 11 Million by 2034

Trump Media and Technology Group (DJT) Requests Shareholder Approval for Florida Reincorporation and Increase of Share Pool by 11 Million by 2034

This article does not constitute investment advice. The author has no holdings in any of the stocks referenced.

Overview of Trump Media and Technology Group’s Upcoming AGM

Trump Media and Technology Group (NASDAQ: DJT), the parent company behind the Truth Social platform and the new Truth Plus content streaming service, is gearing up for its annual general meeting (AGM) scheduled for April 30, 2025. During this significant event, several notable proposals will be presented to shareholders.

Key Proposals on the Agenda

Among the six proposals set for consideration, one crucial item includes a plan to reincorporate Trump Media in Florida instead of Delaware. Additionally, the company is seeking approval to increase its available share pool through an annual automatic addition of 5% of the then-outstanding common shares. This proposal could potentially increase the share pool by approximately 11 million shares over the next decade, contingent upon the number of shares remaining at the end of each fiscal year.

As of March 11, Trump Media and Technology Group had approximately 220, 412, 316 common shares outstanding, which emphasizes the scale of the proposed increase.

CEO Compensation Amid Financial Challenges

Notably, Devin Nunes, the CEO of Trump Media and Technology Group, received a substantial total compensation of $46.9 million in 2024. Despite this robust remuneration, the company’s financial performance remains concerning. For the fiscal year ending December 31, the reported sales were merely $3.6 million. However, after accounting for deferred revenue amortization, actual revenues amounted to just around $200, 000.

Diversification Efforts Amidst Stagnation

As the core operations under the Truth Social brand face stagnation, Trump Media is actively pursuing diversification strategies to bolster its revenue streams. Recent reports indicate that the board has approved a plan to allocate up to $250 million from its existing reserve of approximately $700 million in cash towards launching customized Separately Managed Accounts (SMAs) and exchange-traded funds (ETFs), with specific plans for a Bitcoin-focused offering. This initiative will be developed in collaboration with Charles Schwab and Yorkville Advisors under the Truth. Fi brand.

For further details, please refer to the full article here.

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