Former President Donald Trump is on the brink of receiving a massive bonus worth over $1.25 billion as he is set to be granted an additional 36 million shares of Trump Media on Tuesday. The company, which owns the Truth Social app, saw its share price trading at around $35 on Monday, double the required benchmark minimum of $17.50 for Trump to be eligible for the bonus.
The earnout bonus is contingent on the share price hitting the benchmark for 20 trading days within a 30-day period, starting from March 25. With Tuesday marking the 20th day, it is highly unlikely that the share price will fall below the required threshold by the end of the day.
If Trump receives the additional shares, his total stake in Trump Media would be valued at more than $4 billion at the current share price of $35. The company has the authority to issue a total of 40 million earnout shares as part of the merger deal that brought it together with Digital World Acquisition Corp.
Despite facing a criminal trial in New York City, Trump remains a key figure in the business world as the majority shareholder of Trump Media. The company’s share price has experienced significant fluctuations since its public trading debut, but Trump is expected to receive all of his earnout shares due to the predetermined threshold price. It remains to be seen how this influx of shares will impact the company’s stock price moving forward.