Expiring lockups could pressure high-flying IPOs

Published: 7 May 2000 y., Sunday
With the steep decline in the Nasdaq composite index and a general aversion toward new issues, the number of IPOs this month is a fraction of the number from previous months. The number of companies coming off their post-IPO lockups, however, is expected to soar--further putting pressure on stocks. Lockup periods typically last several months and prevent company insiders from unloading shares. This month, lockups will expire on more than 60 companies, including Agilent Technologies, McAfee.com and Vitria Technology. The deluge makes May the second-busiest month this year. An expiration for a lockup is usually set for 180 days after the IPO. That gives insiders such as company executives and board members, as well as early investors such as venture capitalists and strategic investors, first opportunities to sell stock. Agilent, the closely watched Hewlett-Packard spinoff, will have 380 million shares available for sale May 16, according to the company's prospectus filed with the Securities and Exchange Commission. HP is the holder of those shares, and it has previously indicated that it plans to distribute them to shareholders midyear.
Šaltinis: CNET News.com
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Doing Business 2010: Governments Set New Record in Business Regulation Reform

A record 131 economies around the globe reformed business regulation in 2008/09, according to the IFC–World Bank Doing Business 2010 report. more »

Haiti: WB Approves US$5 Million Grant for Electricity Services

The World Bank’s Board of Directors today approved a US$5 million grant to improve the quality of electricity services in Haiti and strengthen the financial and operational performance of Electricité d’Haïti, the public electricity utility. more »

Families Becoming Farmers in Tajikistan

Firuza Ziyoeva, a 42-year old mother of five, lacks any sustainable income for her family – her husband is unable to work due to disabilities and their children are all young. more »

IMF Managing Director Dominique Strauss-Kahn Welcomes Singapore’s Commitment of Additional Financial Support for the IMF

The Managing Director of the International Monetary Fund (IMF), Mr. Dominique Strauss-Kahn, made the following statement today regarding Singapore’s commitment to increase fourfold its contribution to the Fund’s New Arrangements to Borrow (NAB) by US$1.5 billion, to a total of US$2 billion. more »

Foreign trade of Lithuania in I half-year 2009

Statistics Lithuania reports that, based on non-final data obtained from customs declarations and Intrastat reporting data, exports in I half-year 2009 made LTL 19 billion, while imports – LTL 21.2 billion. more »

AB Bank SNORAS is the first who suggests certificates of deposits in Lithuania

Since 7 September 2009 AB Bank SNORAS for residents and economy subjects begins to distribute a new savings product - certificates of deposits. more »

Africa's chief development banker urges regional cooperation

“We are 53 diverse countries differently affected by the crisis, 1 billion people that cannot be ignored”. That was the stark message to Members of Parliament's Development Committee from Donald Kaberuka, the head of Africa's Development Bank at a hearing on 3 September in Brussels. more »

Spain: EIB provides EUR 450 million for air traffic control facilities

The European Investment Bank has granted a EUR 450 million loan to AENA (Aeropuertos Españoles y Navegación Aérea) for upgrading and expanding Spain’s air traffic control facilities in order to optimise their overall efficiency and ensure that they comply with international regulations. more »

Prices for industrial production in August 2009 increased by 0.9 per cent

Statistics Lithuania informs that in August 2009, against July, prices for total industrial production sold increased by 0.9 per cent. more »

U.S. jobless rate at 26-yr peak

Despite signs the near two-year U.S. recession may be over - Americans are still finding it hard to get a job. more »