Educational -Lock UP period# Stock
S*3
1 楼
https://www.sec.gov/answers/lockup.htm
Initial Public Offerings: Lockup Agreements
Lockup agreements prohibit company insiders—including employees, their
friends and family, and venture capitalists—from selling their shares for a
set period of time. In other words, the shares are "locked up." Before a
company goes public, the company and its underwriter typically enter into a
lockup agreement to ensure that shares owned by these insiders don’t enter
the public market too soon after the offering.
The terms of lockup agreements may vary, but most prevent insiders from
selling their shares for 180 days. Lockups also may limit the number of
shares that can be sold over a designated period of time. U.S. securities
laws require a company using a lockup to disclose the terms in its
registration documents, including its prospectus. Some states require
lockup agreements under their "blue-sky" laws.
If you are considering investing in a company that has recently conducted an
initial public offering, you should determine whether the company has a
lockup and when it expires. This is important information because a company
’s stock price may drop in anticipation that locked up shares will be sold
into the market when the lockup ends.
To find out whether a company has a lockup agreement, contact the company’s
shareholder relations department to ask for its prospectus or obtain it
online through the SEC’s EDGAR database. There are also free commercial
websites that track when companies’ lockup agreements expire. The SEC does
not endorse these websites and makes no representation about any of the
information or services contained on these websites
Initial Public Offerings: Lockup Agreements
Lockup agreements prohibit company insiders—including employees, their
friends and family, and venture capitalists—from selling their shares for a
set period of time. In other words, the shares are "locked up." Before a
company goes public, the company and its underwriter typically enter into a
lockup agreement to ensure that shares owned by these insiders don’t enter
the public market too soon after the offering.
The terms of lockup agreements may vary, but most prevent insiders from
selling their shares for 180 days. Lockups also may limit the number of
shares that can be sold over a designated period of time. U.S. securities
laws require a company using a lockup to disclose the terms in its
registration documents, including its prospectus. Some states require
lockup agreements under their "blue-sky" laws.
If you are considering investing in a company that has recently conducted an
initial public offering, you should determine whether the company has a
lockup and when it expires. This is important information because a company
’s stock price may drop in anticipation that locked up shares will be sold
into the market when the lockup ends.
To find out whether a company has a lockup agreement, contact the company’s
shareholder relations department to ask for its prospectus or obtain it
online through the SEC’s EDGAR database. There are also free commercial
websites that track when companies’ lockup agreements expire. The SEC does
not endorse these websites and makes no representation about any of the
information or services contained on these websites