Escrow Watch: 130 million shares are trickling onto the ASX in the coming weeks
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Want to know when shares are coming out of escrow? We’ve been keeping tabs, so you don’t have to.
Every two weeks, Stockhead takes a look at the small cap companies that are releasing shares that have been locked away in escrow.
Escrow refers to shares that are held by early investors or directions restrained from selling for a year or two. The release of escrowed shares can have a big impact on stock price, because a sudden influx of stock onto the market can depress the shares you own.
It is very, very rare that an escrow announcement encompasses two pages, but eSense-Lab (ASX:ESE) achieved that when it foreshadowed 44.4 million shares coming out of escrow, or 24 per cent of its total, on February 14.
It also has a wealth of options and performance rights being released from escrow. Some 32.9 million performance rights will be converted to shares if certain conditions are met. The company outlined these, which include revenue targets and share price value, over two pages.
Vehicle leasing company SG Fleet (ASX:SGF) has 241,000 shares coming out of escrow on February 19, which were consideration shares for the acquisition of vehicle solution provider Movita Group.
Similarly, Xenith IP (ASX:XIP) has shares that were held by vendor principals of Griffith Hack Group, a company Xenith IP acquired in 2016. That equates to 24 per cent of its issued total.
Sequoia (ASX:SEQ) has the highest proportion of shares being released, with 32.3 million, 27 per cent of its total, hitting the ASX on February 13.
Here’s a list of ASX stocks that have signalled escrow releases in the next fortnight:
Scroll or swipe to full reveal table. Click headings to sort
|ASX code||Company||Date released||Escrowed shares||% of all shares|
|TGM||Theta Gold Mines||14-Feb||954,546||0.2%|