When Donald Trump first ran for the presidency in 2016, he famously staked his reputation on his wealth—not only had the real estate magnate mastered the art of the deal, but his vast riches meant special interests couldn’t buy him.
Nearly a decade later, his finances are in tatters: Legal bills are piling up with interest accruing; the state of New York is threatening to seize some of his prime properties; and the stock of his Truth Social parent company is now in free fall.
Now, media group Bloomberg has stripped Trump of his prestigious membership in its virtual country club of billionaires.
This week he was booted from its index of the 500 wealthiest people in the world after shares in Trump Media & Technology Group tumbled.
TMTG shares lost another 9% on Wednesday to close at $34.26 each, bringing total declines to 57% since their peak on March 26.
In truth, the former Apprentice host’s empire has already fallen into a less-than-pristine state.
At least four of Trump’s businesses have declared bankruptcy, and no major lender save for risk-friendly Deutsche Bank is still willing to do business with him.
In February, the Trump Organization was found liable to the tune of $464 million for borrowing against fraudulently inflated real estate values, and the $175 million bond Trump secured from Knight Specialty Insurance to postpone asset seizures until his appeal is heard looks dicey.
November victory offers best chance to regain membership
New York prosecutors are currently questioning whether the company—which is not licensed in the state—is even good for the money.
If not, the authorities could start collecting, and New York Attorney General Letitia James has warned his building on 40 Wall Street could be a prime candidate.
Trump also will have to roll over $780 million in mortgage debt over the next five years, according to an estimate by Forbes, right when interest rates have hit punishing levels and vacancies in prime real estate markets soar as more people work from home.
The March 26 listing of Truth Social parent company Trump Media & Technology Group seemed to come just in the nick of time.
Beyond the $300 million in cash raised from investors to help ensure its immediate survival, the initial surge in its stock price added more than $3 billion to Trump’s wealth overnight.
Yet the more Wall Street saw just the business substance—or lack thereof—there was to TMTG, a loss-making Twitter clone whose main draw is its most famous user, the more the stock dived.
Trump is nothing if not a survivor, though.
The clout he’d gain in the business community from a victory in November’s U.S. presidential election could soon see his coffers replenished.
Who knows—he might even get his Bloomberg billionaire membership card back.
