Sep 28, 2024, 12:00 AM
Sep 27, 2024, 5:13 PM

Truth Social cofounders sell $100 million in shares after lockup

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Highlights
  • United Atlantic Ventures sold 7,525,000 shares of Truth Social, valued at over $100 million.
  • The sale follows a legal ruling that favored the cofounders, allowing them to sell their shares after a lockup period.
  • Despite the large sale, the market has shown little reaction, and Trump has pledged not to sell his shares.
Story

Two cofounders of Truth Social, Andy Litinsky and Wes Moss, have sold over 7.5 million shares of the company, valued at more than $100 million, following the expiration of a lockup agreement. This transaction marks the first insider sale since the lockup ended, allowing early investors to sell their shares. The sale was executed by United Atlantic Ventures, an investment company formed by Litinsky and Moss, who have been involved in legal disputes with Trump Media, the parent company of Truth Social. A Delaware judge recently ruled in favor of United Atlantic Ventures, enabling the sale of shares that had been contested due to allegations of mismanagement and attempts to deprive the cofounders of their shares. Despite the significant share sale, the market reaction has been muted, with shares trading around $14. Donald Trump, a key figure in the company, has maintained his commitment not to sell his shares, which adds a layer of stability to the company's stock amidst the insider transactions.

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