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Anyone know if FB employees with shares can sell them immediately after the IPO or do they have to wait after a certain period?
by AznHisoka 14y ago
Anyone know if FB employees with shares can sell them immediately after the IPO or do they have to wait after a certain period?
- snprbob86 14y agoThere is a 6 month lockup period.
- AznHisoka 14y agoI guess we'll be seeing a lot of 2 week notices in 6 months..
- theorique 14y agoPeople call it "calling in rich". http://avc.blogs.com/a_vc/2006/07/vc_clich_of_the_3.html http://avc.blogs.com/a_vc/2006/07/vc_clich_of_the_3.html
- maayank 14y ago3 months in this case[1] [1] http://www.inc.com/eric-markowitz/facebook-going-public-investors-react-to-ipo.html http://www.inc.com/eric-markowitz/facebook-going-public-inve..., Ctrl+F for "90 days"
- nextparadigms 14y agoThen Facebook employees better hope the stock price doesn't fall to half of what it is now in 3 months.
- slackerIII 14y agoGotta dump those shares before the tax code changes next year.
- SoftwareMaven 14y agoThere is generally a lock-out period to make sure people are buying the company's shares, not all the employees' shares.
- dot 14y agoCan employees still sell their shares on secondmarket now that FB is public?
- heelhook 14y agoThey might be able to, but there is no real reason to buy on a second market now, so the market would be illiquid. If the employee would want to sell now for fear of a devaluation during the lock out period they could buy put options at the current valuation, haven't checked the price, but those options can't be too expensive right now.
- bhickey 14y agoEmployees are almost certainly restricted to trading windows independent of any lockout provision. Given the lockout, it's unlikely that there is currently an open trading window. Any insider trading options outside of that window is likely to run afoul of the SEC.
- deleted 14y ago[deleted]