Let's try to unpack Anthropic's wild share-lockup plan

The structure of Anthropic's post-IPO lock-up period is unusual. When a company goes public, its insider shareholders can only cash in their equity after a certain amount of time, so as to support the stock price by not flooding the market with shares all at once. Typically, lock-up periods that prohibit insiders from selling stock last three to six months. In many cases, there are mile markers along the way that allow for some additional selling before a final expiration date when virtually all shares can be freely offloaded. For example, SpaceX, which went public in June, will see its general lock-up period expire in December, 180 days after its June 12 IPO (Elon Musk is locked up for a full year, until June 2027).

Also reported by Business Insider.

First reported by Insider. This page is a short excerpt; the full text is theirs.