Trump Media Stock Jumps Pre-Market After Announcing $400M Stock Buyback

Trump Media & Technology Group (DJT) on Monday announced that its board of directors authorized a $400 million stock buyback program.

Trump Media’s stock surged more than 6% in the pre-market trading session before paring some of the gains at the time of writing.

Devin Nunes, Trump Media’s CEO and chairman, said the board had taken a vote of confidence in the company and its strategic plans.

“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,” he said.

Trump Media’s stock buyback would be conducted through open-market transactions, but the timing and amount are not yet known.

The company also noted that it may, at any time, and from time to time, repurchase its outstanding convertible notes from the open market or through private placements.

Trump Media clarified that its share buyback will be funded separately from the company’s previously announced Bitcoin (BTC) treasury strategy, which was to be executed using funds raised through a private placement offering worth $2.3 billion.

At the time, Nunes called Bitcoin a “crown jewel” and an “apex instrument of financial freedom.”

“This investment will help defend our Company against harassment and discrimination by financial institutions, which plague many Americans and U.S. firms,” he said.

The company also plans to launch Trump-branded cryptocurrency exchange-traded funds (ETF) later this year, after obtaining necessary regulatory approvals.

Trump Media’s stock is down nearly 48% year-to-date and nearly 47% over the past 12 months.

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