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A large shareholder who owes 30% of total equity wants to substantially reduce his shareholdings in the company after the company has gone to public. I want to ask, whether or not other subscribers have the priority to purchase this amount of share ? Or all shareholders are treated the same in purchasing his amount of share?
No-one has any right to prior claim on those shares
It’s a public company and the shares will be sold through the “normal” procedure of sale through the stock exchange process
Contact a broker and instruct that broker to sell the shares through the exchange mechanism
It would be an “interesting” sale though and the quoted share price is likely to take a MAJOR hit when the market is aware that a 30% shareholder is selling their entire holding! What sort of message do you think that that will send to the other shareholders and stakeholders generally?
OK?
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