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One of the challenges that many post-IPO tech company employees will face is when to sell stock and how much stock to sell once the their stock lockups conclude.Financial advisors can help with this, but some aren't experienced enough with the specific fluctuations of tech companies to create a financially wise strategy.
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Since then, the company surpassed key employee stock lockup expiration dates last fall, and the stock has been improving.
It will also need to convince company insiders not to take their first chance to exit when its stock lockup expires in a couple of weeks.
Facebook will deal with one of its biggest challenges yet when its biggest stock lockup expires tomorrow, which could flood the market with shares.
It also weathered its biggest stock lockup expirations without a share price crash, which allows investors to forget about the IPO's messy aftermath and focus on Facebook's business.
Unlike the recent exodus from Twitter, Ryu's says her move wasn't primarily fueled by a desire to sell shares, though LinkedIn went public 7 months ago and its stock lockup has expired.
In this first show, TechCrunch co-editor Alexia Tsotsis joins Leena and me as we talk about the latest Facebook stock lockup expiration, the continued expansion of Uber and other transportation-focused apps amidst serious pushback from many powers-that-be, and the unmasking of the person behind the parody Twitter account NextTechBlog.
Today, 234 million Facebook shares (NASDAQ FB) held by employees are now eligible to be sold on the market thanks to a stock-lockup expiration.
Today the company is experiencing its biggest stock-lockup expiration, with 773 million Facebook shares (NASDAQ FB) held by employees now eligible to be sold on the open market.
As stock-lockup expirations loom, six of Facebook's top officers (but not Zuck) filed Form 4s today to notify the SEC their RSUs will vest into 45.3 million Class B shares on October 29th, but they won't be selling any.
Will insiders dump stock after lockup periods or on secondary markets?
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com