₹400 Crore Worth of IPO Shares to Be Freed as Anchor Lock-In Expiry Begins

The 90-day lock-in period for anchor investors in five newly listed companies expires in April, potentially leading to an increased supply of shares in the market. The stocks affected are:

Denta Water and Infra Solutions – Lock-in expires April 27, 2025
Stallion India Flurochemicals – Lock-in expires April 21, 2025
Laxmi Dental – Lock-in expires April 15, 2025
Quadrant Future Tek – Lock-in expires April 9, 2025
Standard Glass Lining Technology – Lock-in expires April 8, 2025

The total number of locked-in shares being freed is 401 crore, with:

• Denta Water & Infra (26.7 million shares)

• Stallion India Flurochemicals (79.32 million shares)

• Laxmi Dental (54.96 million shares)

• Quadrant Future Tek (40 million shares)

• Standard Glass Lining (199.49 million shares)

How Will the Lock-In Expiry Affect These Stocks?

Anchor investors, such as mutual funds and institutional buyers, are not obligated to sell their holdings once the lock-in expires. However, they can choose to:
✅ Hold their shares if they expect long-term growth.
✅ Sell a portion of holdings if stock valuations seem stretched.
✅ Exit entirely, leading to a sharp increase in supply and possible price correction.

Stock Performance Since IPO Listing

Among the five IPOs:
Quadrant Future Tek (+100.9%) and Standard Glass Lining (+8.5%) have outperformed post-listing.
Laxmi Dental, Stallion India, and Denta Water are trading below their issue price, raising concerns about possible selling pressure post-lock-in.

Market Outlook: What Investors Should Watch

Key Factors to Consider

• If anchor investors hold onto their shares, prices may remain stable.

• If a large portion of shares gets sold, stock prices could decline.

• Broader market trends and company performance will play a role in price movements.

What Should Investors Do?

• Monitor trading volumes around expiry dates for any unusual activity.

• Look at company fundamentals before making buy/sell decisions.

• Watch for institutional selling, as it may trigger stock volatility.

With anchor lock-in expirations approaching, April will be a crucial month for IPO investors, with potential price movements across these stocks.

The Current active IPO are Infonative Solutions Limited,Spinaroo Commercial Limited,Retaggio Industries Limited.

The Closed IPOs are  Identixweb Limited.

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