Trump Media & Technology Group Corp (NASDAQ:DJT), the company behind the Truth Social media platform, majority-owned by US President Donald Trump, announced that its board of directors has authorized an up to $400 million stock buyback.
This repurchase may include both common stock and warrants, conducted through open market transactions, with all repurchased shares to be retired by the company.
The timing and amount of the buybacks will be at the company's discretion, in line with Securities and Exchange Commission (SEC) regulations.
“The board took a vote of confidence in our company, our stock, and our strategic plans,” Trump Media CEO Devin Nunes said in a statement.
“Since Trump Media now has approximately $3 billion on its balance sheet, we have the flexibility to take actions like this which support strong shareholder returns, as we continue exploring further strategic opportunities.”
The company noted the share buyback does not impact its previously disclosed Bitcoin treasury strategy, which includes a $2.3 billion private placement to fund Bitcoin purchases.
Shares of Trump Media traded up 2.5% at about $18 on Monday morning.