Donald Trump’s Truth Social Loses Top Executive

Former President Donald Trump’s social media platform, TruthSocial, recently lost one of its top executives.
On Friday, The Associated Press (AP) reported that a recent regulatory filing showed chief operating officer of Truth Social’s parent company has stepped down and that the company is required to transfer nearly 800,000 shares to an investor following a court ruling.
According to a Securities and Exchange Commission filing, COO Andrew Northwall resigned from Trump Media & Technology Group Corp. last month. The filing noted that the company plans to “transition his duties internally,” but no further details were provided about his departure.
A recent SEC filing revealed that a Delaware court ruled last month that 785,825 shares of Trump Media must be released to ARC Global Investments II. The ruling comes after a dispute between the two parties over how many shares ARC was entitled to following Trump Media’s merger with Digital World Acquisition Corp. Both ARC and Trump Media have 30 days from the court’s final order to file an appeal.
Trump Media, which operates the Truth Social platform launched by the former president after his bans from Twitter and Facebook following the January 6, 2021, Capitol riot, has been facing financial difficulties. Based in Sarasota, Florida, the company has struggled to generate revenue, losing nearly $58.2 million last year while bringing in just $4.1 million, according to regulatory filings.
Some market experts have labeled shares of Trump Media as a “meme stock,” a term used for stocks that gain significant online attention and soar beyond their traditional market value. The stock has experienced months of fluctuation with much of the trading fueled by individual investors, who are often seen as less experienced than professional day traders.
Last month, shares for Trump Media & Technology group hit a new low on the first day that Trump could sell his own shares. In mid-July, TMTG’s stock increased over 31 percent after Trump’s first assassination attempt. Meanwhile, TMTG’s stock dropped over 10 percent earlier this month following the first presidential debate between Trump and Vice President Kamala Harris, the Democratic presidential nominee who was widely thought of as the winner of the debate.
Trump Media, traded under the ticker TMTG, went public in March. Upon its debut on the Nasdaq, the stock reached a peak of $79.38 per share. Before the market opened on Friday, shares of Trump Media & Technology saw a modest increase, rising to $16.20.
This article includes reporting from The Associated Press.