Question: Explain why the lock-up period is an important consideration for investors, especially for issues that are still largely held by insiders?

Explain why the lock-up period is an important consideration for investors, especially for issues that are still largely held by insiders?

Step by Step Solution

★★★★★

3.45 Rating (161 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Large issuer insiders want to cash out their s... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

1343-B-F-A-F-V(753).docx

120 KBs Word File

Students Have Also Explored These Related Financial Accounting Questions!

Q:

Why is job satisfaction an important consideration for OB?

Q:

Why is search engine optimization an important consideration for the companys owned media strategy?

Q:

Depreciation expense does not require payment in cash. However, it is an important consideration in the discounting of an investment's future cash flows. Explain why.

Q:

Question 1 The Jumbo Group restaurant chain launched its initial public offering (IPO) in October 2015. As a financial analyst of Tiger Investment Fund, your boss has requested for you to brief her...

Q:

Analyze the balance of payment of Saudi Arabia. the answer will be based on the article below June 2016 Saudi Arabia: Balance of Payments Situation and Outlook, 2016-2020 Executive Summary - The...

Q:

Please provide a quick resume of the article "A Guide to the Big Ideas and Debates in Corporate Governance" that was attached along with this module. Pay attention to five headings: (1) The nature...

Q:

Please help with the discussion below: ** Each of the 3 questions below only need to beabout two-threepara graphs but packed full of information, no fluff. **Attached below are a few readings from...

Q:

I need help with how to do a DCF analysis for this Spotify case. Please can you show the explanation of the steps Thank you A. Using the information provided, what should SPs shares be trading at on...

Q:

The AMB Consolidation On August 13, 1997, Anne Shea of the Curators' Fund (the Fund) sat in her office overlooking downtown Kansas City, knowing she had to decide her position on the proposed...

Q:

case study (sumnary ) Chapter 1 An Investment Perspective of Human Resource Management READING 1.1 The India Way: Lessons for the U.S. Peter Cappelli, Harbir Singh Jitendra Singh, and Michael Useem...

Q:

From 1837 to 1932, the U.S. Supreme Court had forty-eight vacancies. The table in the next column shows the number of years in which exactly k of the vacancies occurred (185). At the = 0.01 level of...

Q:

A client comes to your office. He immediately admits that he is a convicted felon. He tells you last week he was arrested on his way home from work in Orlando, Florida. The charge is Possession of a...

Q:

The dividend decision is one of the crucial decisions made by the finance manager relating to the payouts to the shareholders. The companies can pay either dividend to the shareholders or retain the...

Q:

1.7 As noted in Table 23.8, patient access and costs vary among a number of measures. Are these measures useful indicators of the performance of health care systems? Could you think of any others?

Q:

Complete the following balance sheet for the post-merger firm B-T. The bidder acquired the target for $2,000 incash. Bidder Target (book value) Target (FMV) B-T (post-merger) 25,000 Current assets...

Q:

List and briefly describe the two types of takeovers.

Q:

1. Which of the following statements about an operating lease is false? a. The lessor is responsible for maintaining the asset. b. The lessee is responsible for maintaining the asset. c. An operating...

Q:

Byron Books Inc. recently reported $18 million of net income. Its EBIT was $24.3 million, and its tax rate was 25%. What was its interest expense? (Hint: Write out the headings for an income...

Q:

Pappys Potato has come up with a new product, the Potato Pet (they are freeze-dried to last longer). Pappys paid $121,000 for a marketing survey to determine the viability of the product. It is felt...

Q:

The Aleutian Company produces two products, Rings and Dings. They are manufactured in two departments, Fabrication and assembly. Data for the products and departments are listed below. Product Number...