Trump Media shareholder UAV dumped almost 11 million shares

United Atlantic Ventures LLC, a major shareholder in Trump Media, has sold or otherwise gotten rid of nearly 11 million shares in the company, according to a regulatory filing Thursday.

The move left UAV, a partnership of former “Apprentice” contestants Andrew Litinsky and Wes Moss, owning just 100 shares in Trump Media, which operates the Truth Social app.

UAV was allowed to sell any of its 5.4% stake in DJT’s outstanding shares after a lock-up agreement that barred company insiders from selling expired on Sept. 19.

UAV is the only known insider to sell off shares since last week.

Litinsky and Moss had pitched the idea of a social media company to former President Donald Trump, and co-founded the company with him in 2021. The duo later fell out with Trump, who is the Republican presidential nominee, and have been embroiled in lawsuits with Trump Media over their shares since then.

Trump owns more than 56% of Trump Media shares, which trade under the ticker DJT on the Nasdaq. The stock closed at $13.98 per share on Thursday, a decrease of about 1%.

CNBC has requested comment from Trump Media and a lawyer for UAV.

Securities and Exchange Commission filings show that UAV owned 7,525,000 shares of Trump Media as of March 25, the day the company completed a merger with the blank-check company Digital World Acquisition Corp.

UAV later was awarded another 3.44 million shares that were issued “for no additional consideration based on the performance of our shares of Common Stock,” Trump Media said in an SEC filing on Sept. 5.

That left UAV owning more than 10.96 million shares.

Thursday’s SEC filing does not say when UAV shed its shares in the past week, and at what price or prices it received for that stock.

But DJT has traded at prices between $15.50 per share and $11.75 in that period. That suggests UAV would have received between $128 million and $170 million for the shares it appears to have sold.

Trump Media had warned in a Florida lawsuit that UAV was planning to sell “all of its shares as soon as possible” once the lock-up period expired.

Trump Media stock soared in its trading debut on the Nasdaq, reaching an intraday high of $79.38 per share and sending the company’s market capitalization north of $10 billion.

But DJT’s price quickly pulled back.

In recent months it has suffered a downward slide that erased more than 80% of the company’s value at its post-merger peak. The company’s market cap is now below $2.8 billion.

Analysts view DJT as a meme stock whose wild price swings were driven more by investors’ support for Trump, the majority shareholder and Truth Social’s main draw, than its business fundamentals.

Trump Media has reported net losses of around $344 million on revenues of less than $2 million in its last two quarterly earnings reports.