Last year, a report from fast food magazine QSR found that former President Donald Trump's social media accounts generated $4 billion in revenue last year; that's about as many as McDonald's franchises in the United States. (via washingtonpost)
But that didn't stop the Media and Technology Group, which runs Social Reality, from giving Trump billions of dollars in stock or paying its executives millions of dollars in salaries, bonuses and stock, according to a filing with the Commission. Exchange.
Media, headquartered in Sarasota, Florida, has just 36 employees and lost $58 million last year, the company said. Internet analytics firm ZirveWeb reports that actual traffic is less than 1 percent of Reddit, which generated $800 million in revenue last year.But the stock market's complacency pushed Trump Media's value to about $5.5 billion; That's more than the market cap of Macy's, Columbia Sportswear and Alaska Airlines, which all have billions of dollars in annual revenue.
Washington Post shared with Trump Media the figures it wanted to show in the report, all coming from company documents. Trump's press secretary, Shannon Devine, responded in a statement: "Social Truth was founded as a publicly traded company where people interact with millions of people and buy to use them, so it's no surprise that the party's activists at the Washington Post have already done so." affected by the law. Reporting libel -would be such a shame.
”Trump's media sued The Post for defamation last year, saying the news organization misreported allegations about the donation. A federal judge in Florida recently dismissed the lawsuit but said the Trump media could amend it if they thought they could make a valid claim.
Trump is the largest shareholder of Trump Media, owning 57.3 percent, or 78.7 million shares, of the company; The stock is worth $3.2 billion based on Friday's closing price.Trump, via'Exit', is prepared to purchase another 36 million shares if the price remains above $17.50 within 20 days.
This could happen as early as April 26, bringing the total number of shares to 4.7 billion.The six-month lock-up agreement states that Trump cannot sell or transfer his shares until September 25 or a few days later if the shares reach a certain level. Trump may ask the agency to withdraw this request, but has not yet done so. Closing also applies to company executives and board members.
Three members of Trump Media's seven-member board received stock, cash or both.Media Media CEO and president Devin Nunes received 115,000 shares valued at $4.6 million. Last year he received $750,000, this year the amount increased to $1 million.This month,Nunes, a former Republican congressman from California, will also receive $600,000 in "preservation money." The bonus agreement signed by Nunes stated that the money was intended to help "ensure the continuity" of Trump Media's operations.
Board member Eric Swider, CEO of the private equity firm that merged withTrump Media, and Puerto Rican consulting firm Renatus received up to 153,000 shares valued at 6.2 million as part of the merger.Another board member, former Nunes aide Kash Patel, who worked on Trump's National Security Council, was paid $130,000 last year for consultations with his company,
Trishul. According to the filing, Patel also serves as "Trump's national security advisor as a private citizen" and is paid for that service by the Political Action Committee to Save America.The four remaining council members are Robert E. Lighthizer, Trump's former trade representative; Linda McMahon, Trump's former small business executive; Louisiana Lawyer W. Kyle Green; and Trump's son, Donald Trump Jr. – was not paid last year, but the filing stated that the board of directors "may allocate shares to him as non-cash compensation..." from time to time.Dan Scavino Jr., Trump's longtime former board member who headed the White House's social media efforts and is now advising the Republican presidential campaign, received $240,000 last year through a contract with consulting firm Hudson Digital. Scavino will also receive a $600,000 bond this month.T
rump's media also gave Scavino a "engagement note" of $2.2 million. The company issued shares to other executives, which were immediately converted into shares on the date of the merger. The documents do not indicate whether Scavino's notes were altered.
Trump Media Chief Financial Officer Phillip Juhan purchased 490,000 shares worth $19.8 million. He was paid $337,500 last year, his salary rising to $365,000 when the merger was completed. Most recently he was the financial director of a club chain.Chief Operating Officer Andrew Northwall received 20,000 shares valued at $812,000. Last year he received $365,000. He previously worked at Parler, the social media platform that was popular during the pro-Trump rally at the US Capitol on January 6, 2021.Juhan and Northwall will also receive a $600,000 advance this month.The otherexecutives will receive a total of $1.24 million.
They include Chief Technology Officer Vladimir Novachki, who received 45,000 shares worth $1.8 million, and general counsel Scott Glabe, who received 20,000 shares worth $822,000. Glabe served as deputy counsel in the White House during the Trump administration.foundersTrump Media founders Andy Litinsky and Wes Moss, who met Trump on 'The Apprentice' and helped establish the company in 2021, will receive 7.5 million shares worth $ 304 million through their partnership, United Atlantic Ventures.Arc Global Investments II, the lead investor behind Digital World Acquisition, which is merging with Trump Media to go public, said in a filing that it acquired 13.3 million shares worth $539 million. In a previous application from Trump Media, it was stated that Arc would receive 9.5 million shares.Arc and Digital World are in legal disputes over Arc's shares. Arc is led by former Digital World CEO Patrick Orlando.
Trump Media said it had helped fund its operations by issuing 19 convertible notes since 2021 in exchange for loans with a total face value of more than $40 million. The holders of those notes, most of whom the filings do not identify, can convert the unpaid principal into stock. The company said several of the notes had been amended or extended since they were issued, and that it had an “ongoing disagreement” with one noteholder over their “differing interpretations of certain terms.”
The company also said it had issued convertible notes to unnamed investors for “working capital purposes” during the last quarter of 2023, and that more than $1 million of the notes remained outstanding by the end of the year.
The Trump Media settlement comes amid four ongoing lawsuits, all filed in the last two months:Media and Digital World sued Arc and Orlando in Florida, claiming that their "irrational and unsafe behavior" "incurred significant costs" and resulted in "known adverse consequences." Litinsky and Moss'sUnited Atlantic Ventures sued Trump's Delaware media outlet, saying it was pushing for a "last-minute deal" that would dilute Trump's stock. Trump is expected to be removed from the case this month.Arc sued Digital World, its CEO and three board members in Delaware, alleging they acted to deprive Orlando of millions in shares.
Trump Media sued Moss, Litinsky and Orlando in Florida, accusing the founders of mismanaging the company with a "toxic culture" and forcing them to lose their shares. The Delaware judge in the United Atlantic Ventures case said at an April 1 hearing that he was "shocked" that Trump's media filed suit while the dispute was still playing out in his court.Digital World said it spent $19.6 million on "legal investigations" last year, largely due to an $18 million settlement with the SEC, according to Trump's press release.Trump's media also agreed to pay $500,000 for services to an unnamed law firm last year, according to reports. In November, the company issued a $500,000 note with a conversion price of $10 per share; that share is worth 2 million today.
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