Hong Kong’s stock market is bracing for a record wave of IPO lock-up expirations, which could lead to an overhang on the already struggling market. Knowledge Atlas Technology, a Chinese AI developer, will see 25.6 million shares freed from a six-month cornerstone investor lock-up, nearly 6% of its outstanding shares.
Lock-Up Expirations
Other companies facing expirations this week include MiniMax and Shanghai Iluvatar CoreX Semiconductor, with 45% and 4.3% of their respective outstanding shares set to be unlocked. The average first-day return of Hong Kong IPOs in the first half of 2026 was 61%, according to EY, compared to a sluggish broader market.
Hong Kong’s benchmark Hang Seng Index is down 8.9% this year. Secondary selling pressure will be most concentrated in July and September, analysts at Morgan Stanley wrote in a note. Goldman Sachs estimated that $274 billion worth of locked-up shares will be released into the Hong Kong market over the next 12 months, a record-high volume.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
