Numbers cited in a new report by The Hollywood Reporter suggest that the Trump Media & Technology Group (TMTG), which is the Trump-branded company behind the Trump social media operation Truth Social, has lost as much as $860 million+ in value.
The company was provided a valuation of $875 million when a planned (but so far uncompleted) merger with a blank check company called Digital World Acquisition Corp. was announced, and amid his company’s formulation, Trump was provided a stake in TMTG of 90 percent. Well, his most recent financial disclosures (associated with his presidential run) pin the value of that stake at between $5 million and $25 million. At the higher end of that range, the company’s overall value ends up at about $27.7 million, extrapolating from Trump’s share. At the lower end, it’s just $5.5 million.
Forbes, the financial news publication, already cited the declining value of Trump’s stake in TMTG as a key driver of their removal of the ex-president from their list of the 400 richest people in the U.S. Forbes cited a valuation of Trump’s share that put it below $100 million, still representing hundreds and hundreds of millions of dollars in loss of value for the beleaguered former president.
UPDATE: It appears financials at TMTG were misrepresented/misreported in news reports. TMTG “recorded a $50.5 million profit after getting a boost from a change in the value related to its convertible notes,” Bloomberg’s Bailey Lipschultz explained.
And the company as a whole is reportedly doing poorly financially, having experienced $73 million in losses just across last year and the first six months of this one. And the money brought in at the Devin Nunes-led firm reached $3.7 million. The consequences are growing, with recent layoffs that impacted the team at TMTG responsible for previously discussed ambitions of a streaming platform associated with Trump.
Trump has responded to some of the recent scrutiny on his businesses with increasingly grandiose assertions of how well he’s supposedly actually doing. He’s repeatedly claimed a value for his Florida resort Mar-a-Lago that would send it likely into the billions, making the near-ocean property among the highest valued in the world… an unsupported notion.