DoorDash discloses early expiration of lockup agreements on about 114 million shares

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DoorDash Inc.
DASH,
+1.68%
disclosed Monday that the underwriters of its initial public offering have agreed to an early expiration of some of lock-up agreements, which could make more than 110 million shares available for sale. The stock, which went public on Dec. 9, rose 1.9% in morning trading. The food-delivery platform the shares will become eligible for sales on March 9, or about three months before the expiration of the original 180-day lock-up agreement. The company had said that in the case of an early expiration of some of the lock-up agreements, 95,709,974 Class A shares held by former holders of convertible preferred stock, 6,262,890 of Class A shares held by board members and management and 11,889,744 shares of Class A shares held by all other holders — a total of about 113.9 million shares — would be eligible for sale. That represents about 35.8% of the total shares outstanding, and could effectively more than double the public float. The stock has rallied 21.0% year to date, while the Renaissance IPO ETF
IPO,
+2.70%
has gained 6.4% and the S&P 500
SPX,
+2.27%
has tacked on 3.8%.

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