Escrow watch: which ASX stocks have a pile of shares coming onto the market
Shares coming out of escrow can weigh heavily on a listed company’s stock price — as augmented reality developer Thred experienced last week.
Escrow is a period when shareholders are not allowed to trade the stock they own.
For company directors this is usually for two years after a stock lists. Major shareholders can also choose to put their shares into escrow for a period of time.
The threat of a large volume of stock suddenly coming onto the market can depress a company’s share price.
Droneshield is releasing 64 per cent of its issued stock on Friday while Brainchip released 42 per cent of its issued shares — 403 million in total — from escrow on Monday.
Here’s a list of ASX companies that have stock coming out of escrow in the next month:
Jun 24 – Lithium Australia (ASX:LIT) has 50.3 million shares and 29.6 million options coming out.
Jun 25 – ApplyDirect (ASX:AD1) has 59.4 million shares and 26.2 million options coming out of escrow.
Jun 27 – PNG investment company Kina (ASX:KSL) says 32.8 million shares given to Fu Shan Investments in return for Maybank PNG’s banking business are coming out of escrow.
Jun 28 – Nvoi (ASX:NVO) is releasing 103 million shares. Bio-Gene Technologies (ASX:BGT) has 5.3 million coming out, with a further 388,573 the next day.
Jun 29 – Boyuan Holdings (ASX:BHL) has 36 million shares coming out. It has 204 million in voluntary escrow and says it will tell investors when these are being released later.
On the same day Spitfire Materials (ASX:SPI) is releasing 49.5 million shares from voluntary escrow.
Jun 30 – The GO2 People (ASX:GO2) is releasing 833,333 ordinary shares, but 3.1 million options have been re-escrowed for 16 months.
The same day Spirit Telecom (ASX:ST1) has 10.6 million coming out and CarbonNXT (ASX:CG1) is releasing 253,338 shares.
Jul 3 – Eagle Health (ASX:EHH) is releasing 201.8 million shares from escrow.
Jul 4 – Vault Intelligence (ASX:VLT) have 265.8 million shares coming out of escrow and 43.8 million options.
Jul 10 – UCW (ASX:UCW) is releasing 4.9 million shares. The shares were given as part of the sale of a subsidiary last year.