Trump Transfers Stake in Trump Media to Revocable Trust

Friday 20 December 2024 - 11:36

In a recent filing with the Securities and Exchange Commission (SEC), it was revealed that President-elect Donald Trump has transferred his entire stake of 114,750,000 shares in Trump Media to his revocable trust. This move, which took place on Tuesday, has no immediate financial compensation for Trump, as the shares were gifted to the Donald J. Trump Revocable Trust, of which he remains the sole beneficiary.

Despite transferring the shares, Trump retains indirect ownership of the stock through the trust. The trust’s sole trustee is his son, Donald Trump Jr., who holds the exclusive power to vote and manage the securities within the entity. This transfer is valued at over $4 billion based on Trump Media’s trading price of $35.41 per share.

Trump, who is set to be sworn in for a second term as president on January 20, had previously been the largest individual shareholder in Trump Media. His stake represented nearly 53% of the company’s outstanding shares. Trump Media is known for its Truth Social app, and the company began public trading earlier this year after merging with Digital World Acquisition Corp.

This move is not new for Trump, who had made similar transfers to his revocable trust before his first inauguration in 2017. These transfers included various real estate holdings, assets, and liabilities, and were done through his accounting firm, Mazars. In 2016, Trump also transferred assets to the trust during his presidential campaign.

Although Trump has not held an executive position in Trump Media, he has nominated key figures associated with the company to significant roles in his administration. Notably, Linda McMahon, former pro-wrestling mogul, was nominated for education secretary, while Kash Patel, a former White House official, was tapped for FBI director. Trump also appointed Trump Media’s CEO, Devin Nunes, to chair the President’s Intelligence Advisory Board.

This latest share transfer underscores Trump’s continued influence over Trump Media while adhering to the structure of his revocable trust, which allows him to maintain control over his assets indirectly.