MiniMax faces July 9 lock-up expiry as top holders pledge to stay

Alibaba Group Holding Ltd. and miHoYo Co., the two largest strategic investors in MiniMax, said they will not sell any shares when the AI company's post-IPO lock-up period expires July 9.

"The founding team's 12-month voluntary lock-up, which extends well beyond the standard six-month arrangement, demonstrates their confidence in MiniMax's long-term trajectory," a person familiar with the matter said. The extended commitment means the first unlock does not involve any founder or employee shares.

The lock-up expiration coincides with a broader wave of share supply hitting Hong Kong. As many as $32.5 billion worth of shares across multiple companies will see their lock-ins end in July, the most for any month through the rest of the year, according to Bloomberg data. Goldman Sachs Group Inc. has noted that stocks typically see a median decline of 4% in the three months after lock-up expiry and 7% over six months.

MiniMax's situation stands apart from the broader trend. The voluntary commitments from Alibaba and miHoYo, combined with the founding team's extended lock-up, create a "founding team plus strategic shareholders" stability structure that significantly reduces the overhang of sellable shares. This arrangement could serve as a template for other Chinese AI companies navigating the transition from private to public ownership in Hong Kong, where the Hang Seng Index has fallen 3% this year even as South Korea's KOSPI surged 100% and Taiwan's TAIEX gained 57%.

This article is for informational purposes only and does not constitute investment advice.