COO of Truth Social's parent firm steps down from position
Date
10/6/2024 4:05:50 AM
(MENAFN) The chief operating officer of Truth Social's parent company, Andrew Northwall, has resigned from Trump Media & Technology Group Corp., as reported in a recent regulatory filing. Northwall's resignation occurred late last month, and the filing noted that the company plans to transition his duties internally, though no further details regarding the reasons for his departure were disclosed. Northwall had been with the company since December 2021, according to his LinkedIn profile.
In addition to the leadership change, the filing revealed that a Delaware court ruled last month requiring Trump Media to transfer 785,825 shares to ARC Global Investments II as part of a legal dispute. The two parties have been embroiled in a conflict over the number of shares owed to ARC following Trump Media's merger with Digital World Acquisition Corp. The court’s decision allows both Trump Media and ARC to file an appeal within 30 days after the final order.
Trump Media operates the social media platform Truth Social, which was launched by Donald Trump after his bans from Twitter and Facebook following the January 6, 2021, Capitol riot. Based in Sarasota, Florida, the company has faced financial difficulties, reporting a loss of nearly USD58.2 million last year while generating only USD4.1 million in revenue, according to regulatory filings. The company’s financial struggles have led to challenges in raising revenue, further complicating its operations.
The shares of Trump Media, often referred to as TMTG, have been characterized as a meme stock by market experts. This term is used for stocks that gain popularity and experience price spikes due to online buzz rather than traditional financial analysis. The stock has experienced significant fluctuations, largely driven by retail investors who are generally less sophisticated than professional day traders. In late September, Trump Media's stock hit its lowest level ever as former President Donald Trump became free to sell his stake in the company. Since its public debut on the Nasdaq in March, when shares peaked at USD79.38, Trump Media & Technology's stock rose slightly to USD16.20 before the market opened on Friday.
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