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Lock-up agreement
Agreement between an underwriter and certain stockholders of a company requiring the stockholders to refrain from selling their shares in the public market for a specified period after a public offering. In the USA this period is customarily 180 days after an IPO and 90 days after subsequent offerings, but may range from as little as 30 days to as much as one year or more.
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- Part of Speech: noun
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- Industry/Domain: Financial services
- Category: Private equity
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