A significant but often overlooked risk for IPO investors in 2026 is the wave of lock-in expiries hitting the market between April and July. According to market data, ₹5.6 lakh crore (~$67 billion) worth of shares across 81 companies will become freely tradable as pre-IPO and anchor lock-in periods end.
The Unlock Wave — Key Facts
| Total unlock value | ₹5.6 lakh crore (~$67 billion) |
| Companies affected | 81 companies (FY25 and early FY26 listings) |
| Period | April – July 2026 |
| Biggest unlocks | Tata Capital, Bajaj Housing Finance, Groww |
| Market impact | Increased secondary market supply → potential price pressure |
Why This Matters for IPO Applicants
Secondary market weakness directly affects IPO listing performance. When pre-IPO investors and anchor investors exit post-lock-in, it creates additional supply in the secondary market — depressing prices. If stocks are falling due to unlock-driven selling, grey market premiums often shrink or turn negative in the days before listing. This was one factor behind the GMP collapse to near-zero for several recent IPOs.
How to Protect Yourself
- Check lock-in expiry dates for a stock before applying — if a major unlock is imminent post-listing, be cautious
- Monitor Nifty 50 momentum in the days leading up to your listing date
- For IPOs with high GMP and imminent major unlock events, consider selling on listing day rather than holding
- SEBI's new 90-day anchor lock-in (for new IPOs) provides better protection than the old 30-day rule
- Avoid averaging up post-listing in companies with large pre-IPO unlock pending
Silver Lining: Om Power Transmission's strong April 17 listing (+6.3%) shows that quality infrastructure IPOs with genuine QIB and NII backing can still outperform even in this environment. Focus on quality, not just GMP.
