According to a report by Nuvama Institutional Equities, shares worth $1.5 billion under pre-IPO lock-in will become eligible for sale in May 2025. This could create volatility in the Indian stock market, with Swiggy among the key companies drawing investor attention.
The report highlights that multiple companies that went public in recent years are approaching the end of their lock-in periods, when early investors, promoters, and employees can sell their shares. This includes companies like Swiggy, whose lock-in is drawing significant market focus.
Lock-in expiries often lead to sharp movements in share prices, as large quantities of shares may hit the market at once, impacting supply-demand dynamics. Nuvama cautioned that investors should brace for heightened volatility in the coming weeks.
While pre-IPO lock-in expiries can pressure stock prices temporarily, analysts point out that they also offer opportunities for long-term investors to accumulate fundamentally strong companies at attractive valuations.
keywords: Pre-IPO lock-in expiry, Indian stock market, Swiggy IPO, Nuvama Institutional Equities, stock market volatility, Indian IPO market, share price movement, early investor selling, May 2025 market outlook
Source (full link):
https://www.moneycontrol.com/news/business/markets/pre-ipo-lock-in-expiries-worth-15-billion-to-hit-market-in-may-swiggy-in-focus-nuvama-13012784.html
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