Share lock-in period of nearly 17 IPOs to end this month, shows data

The post-IPO lock-in period of 17 companies ends this month, according to an analysis by Nuvama Institutional Equities. In most cases, it is the end of the 30-day lock-in period that anchor investors (on half their shares) have to observe. However, in some cases it is the end of the 90-day lock in period for anchor investors (on the remaining half of shares). In a few cases, it is the end of the 6-month, 1-year and 2-year lock-in period. According to the regulatory requirements, the lock-in period is different for different classes of investors. In case of Restaurant Brands, the 2-year lock-in period on 20 per cent of its promoter equity ends on October 10, and in case of Tracxn Technologies, the one-year lock-in period on 38 per cent of its equity ends on October 18, Nuvama said.

Meanwhile, the 30-day lock-in period ends in the case of 10 companies this month and 3 months in the case of another four. In most cases, the current market price is trading above the issue price. In the past, shares have come under pressure following the end of the post-IPO lock in period as private equity and other institutional investors have looked to cash out. Last month saw the launch of 14 IPOs, the most in 13 years.