$72B lock-in expiry coming
Pre-IPO lock-in periods for nearly $72 billion in shares across 88 companies are expiring between March and June [https://livemint.com/market/ipo/ipo-lock-in-expiry-for-bccl-fractal-86-other-companies-to-release-rs-6-6-lakh-crore-worth-of-shares-in-3-months-11773306793042.html].
Several major companies are affected, including drone maker ideaForge Technology and Mankind Pharma. Shares worth ₹6.6 lakh crore (about $79 billion USD) will become available. Lock-in periods prevent early investors and insiders from selling shares immediately after an IPO. This is meant to reduce volatility and provide stability in the stock's initial trading days. The expiration of these lock-in periods could create selling pressure as these shareholders look to cash out. This could lead to a decrease in share prices for the companies involved.
