IPO lock-in expiry for Hexaware Tech, Ajax Engg, 2 other companies to release over $250 million worth of shares in March | Stock Market News

IPO lock-in expiry: Four companies are slated to have their pre-listing shareholder lock-ins lifted in the next 30 days, potentially freeing up shares amounting to $265 million. According to the brokerage Nuvama Alternative & Quantitative Research, Dr Agarwal’s Health Care, Quality Power Electrical, Ajax Engineering, and Hexaware Technologies will see a one-month lock-in expiry.

“The value pertains to the total lock-up opening shares, but it’s important to note that not all of these shares will come for sale as a sizable portion of them are also held by Promoter & Group,” said the domestic brokerage.

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The lock-in period for an initial public offering (IPO) is a specified duration during which certain investors are prohibited from selling their shares. These lock-in regulations aim to maintain stability in the stock price and give the company a chance to establish itself in the market post-IPO. The IPO lock-in period varies for promoters, anchor investors and non-promoter groups.

IPO lock-in expiry details

According to data provided by Nuvama Alternative & Quantitative Research, the companies set to exit their IPO lock-in period in March are as follows:

1-month share lock-in opening: According to the brokerage, Dr Agarwal’s Health Care, Ajax Engineering, Quality Power Electrical, and Hexaware Technologies will register the one-month lock-in expiry. The IPO lock-in period for these investors will end between March 3 and March 24, 2025.

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Once the pre-listing shareholder lock-in periods are lifted from them next month, these four companies could potentially free up shares amounting to $265 million. (($50 million+$21 million+$173 million+$21 million)).

Dr Agarwal’s Health Care: The IPO lock-in period will expire on March 3, 2025. It could free up 10.9 million shares, amounting to a total value of $50 million. Shares of the ₹3,027-crore IPO were listed on February 5, 2025.

Ajax Engineering: The IPO lock-in period will expire on March 17, 2025. This could free up three million shares, worth a total of $21 million. Shares of the ₹1,269.35 crore IPO were listed on the bourses on February 17, 2025.

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Hexaware Technologies: The IPO lock-in period will expire on March 19, 2025. It could free up 18.3 million shares, worth a total value of $173 million. Shares of the ₹8,750-crore IPO were listed on the bourses on February 19.

Quality Power Electrical: The IPO lock-in period will expire on March 24, 2025. It could free up 4.5 million shares, worth a total value of $21 million. Shares of the ₹858.7-crore IPO were listed on the bourses on February 24.

Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts, consider individual risk tolerance, and conduct thorough research before making investment decisions, as market conditions can change rapidly, and individual circumstances may vary.