https://s3.amazonaws.com/sec.irpass.cc/2660/0001140361-24-019745.htm
TMTG filed a S1 to issue more stock and to exercise warrants.
Up to 21,491,251 Shares of Common Stock Issuable Upon the Exercise of Warrants Up to 146,108,680 Shares of Common Stock Up to 4,061,251 Warrants to Purchase Common Stock
Partially true.
There are two large stake holders in DJT that have turned anti Trump. Part of this is to dilute their holdings. DJT actually has a lot of cash on hand.
Almost all companies lose money for the first 3-5 years. Tesla was losing money 10 years in.
That being said DJT is a one man show. It needs more substance.
10K shows "Cash" of $395,000, which is terrible.
HOWEVER ...
Also shows "Cash held in Trust account" of $310,000,000.
What is that? (I'm asking; I don't know).
https://www.sec.gov/cgi-bin/viewer?action=view&cik=1849635&accession_number=0001140361-24-017385&xbrl_type=v#
If that is cash available for business operations, that would be very good. If it is locked up for something else and cannot be used for operations, then that would be very cash poor.
Held in Trust just means a single person can't draw it down. Needs 2+ signatures to do so.
No, that is not what that means.
Many companies have that requirement for all accounts.
"Cash held in trust" is NOT a routine thing on 10K reports.
It means (literally) that it is held in some sort of trust for some future purpose/event.
Personally, I have never seen it -- EVER -- and I have looked at thousands of 10K's.
So, I do not believe that is a legit answer.
It means something else, but I don't know what.
I suspect it means that it is cash that is held for a particular purpose, and cannot be accessed until some event occurs. Just speculation, but that would make sense.
Thought about it some more ...
I bet it has to do with the warrants.
Stock held to buy more stock for the warrants that could be exercised.
They are issuing new stock, partly to have it available for the warrant exercise, and the cash is also held for that purpose.
I don't know if or how much cash will be made available for operations vs. how much will be to deal with the warrants, but they better have some for operations, or this will be a big problem.
Cash held in Trust means it's money held by someone who isn't a owner. Which breaks your question down to
Where does the money come from?
Does the company have access to it?
We won't be able to answer one. But a Trust account usually has a legal stipulation that the money is accessible by the company through a managing trustee, which means multiple signing authorities. Straight up cash is often movable by one individual (with a sign off from a company accountant or related staff).