Former U.S. President Donald Trump is on the brink of a massive financial windfall, with his fortune set to grow by a staggering $1.2 billion. This comes as a result of a lucrative earnout bonus of 36 million shares in his newly public company, Trump Media & Technology Group. The bonus was part of an incentive created for the company’s public market debut in March, according to a recent regulatory filing.
In order to qualify for the additional shares, Trump Media’s stock, which trades under the initials DJT, needed to trade at or above $17.50 per share for 20 trading days within a 30-day period. With the stock hitting its 20th trading day on Tuesday without dropping below the threshold, Trump is now eligible for the bonus.
At the current closing price of $32.56 per share, Trump’s earnout is valued at a staggering $1.2 billion. However, Trump and other executives of Trump Media will have to wait roughly another five months before they can cash out their new shares, as they are subject to a lockup period common with newly listed companies.
Despite facing financial pressures from legal judgments and expenses, Trump’s additional stake in Trump Media will see him owning approximately 115 million shares, valued at $3.7 billion. The company, which is centered around the Truth Social social media platform, has experienced volatility in its stock price since going public, with CEO Devin Nunes accusing some investors of manipulating the stock through illegal short selling. Trump Media’s shareholder base consists mainly of individual investors and supporters of the former president, with no institutional backing. The company has also taken steps to protect long-term shareholders from short selling activities.