Donald Trump is suing two co-founders of Trump Media & Technology Group, the newly public parent company of his Truth Social platform, arguing that they should forfeit their stock in the company because they set it up improperly.
Quick Read
- Legal Battle: Donald Trump has initiated a lawsuit against Andy Litinsky and Wes Moss, two co-founders of Trump Media & Technology Group, demanding they relinquish their company shares due to alleged mismanagement during the company’s setup phase.
- Co-founders’ Counteraction: Litinsky and Moss previously sued Trump in an attempt to safeguard their 8.6% stake in Trump Media from actions they claim would significantly diminish their ownership.
- Accusations of Mismanagement: Trump’s lawsuit accuses the co-founders of botching an effort to take Trump Media public, resulting in a prolonged delay of over a year and a half.
- Public Offering Achieved: Despite the disputes, Trump Media succeeded in becoming a publicly traded entity through a merger with Digital World Acquisition, achieving this milestone in March.
- Stock Performance: Following its entry into the stock market, Trump Media & Technology Group’s shares have seen substantial volatility, with recent trading closing at $51.60 per share, bringing the company’s valuation to approximately $5.9 billion.
The Associated Press has the story:
Trump sues 2 Trump Media co-founders, seeking to void their stock in Co.
Newslooks- SAN FRANCISCO (AP) —
Donald Trump is suing two co-founders of Trump Media & Technology Group, the newly public parent company of his Truth Social platform, arguing that they should forfeit their stock in the company because they set it up improperly.
The former U.S. president’s lawsuit, which was filed on March 24 in Florida state court, follows a complaint filed in February by those co-founders, Andy Litinsky and Wes Moss. Their lawsuit sought to prevent Trump from taking steps the two said would sharply reduce their combined 8.6% stake in Trump Media. The pair filed their lawsuit in the Delaware Court of Chancery.
Trump’s lawsuit claims that Litinsky and Moss, who were both contestants on Trump’s reality-TV show “The Apprentice,” mishandled an attempt to take Trump Media public several years ago, allegedly putting the whole project “on ice” for more than a year and a half.
But it also targets the pair over their Delaware suit against Trump, saying that it was one of several attempts they made to block Trump Media’s ultimately successful plan to go public. Trump Media accomplished that goal by merging with a publicly traded shell company called Digital World Acquisition in March.
Trump Media shares have fluctuated wildly since its stock market debut. On Tuesday, the stock closed at $51.60, up 6%, valuing the entire company at $5.9 billion.
