ELI5: Direct Listing of a currently private company that I’m a shareholder in


Hi team,

A company I have shares in will likely go public within the next 12-24 months via Direct Listing.

It is currently valued at about low 8-figures. I do not work at said company. I'm mentioning this because if I opt to do secondaries, with my terms laid within the contract – are quite restrictive and larger entities want a bigger size. in short: for me to do secondaries requires some legal costs, dealing with IR as a “small” investor & dealing with smaller platforms and that complexity is a distant second choice. I've talked to my lawyers and we have worked out what we can / can't do so for now, I would like to avoid talking about secondaries further.

My shares currently on Shareworks. This is all the information I can gleam so far:

https://www.morganstanley.com/atwork/support/how-do-i-sell-or-transact-on-my-shares

Here's are my queries:

  • If I know said company is about to do a direct listing on March 1st, do I have to transfer my shares to a brokerage after that date? Is there a way I can have everything read so when they are publicly available, I am able to sell them immediately?
  • what is the most optimal way to go about the above – what have I missed?

Thank you in advanced. If possible, could you please outline any experience you've had. All advice is always appreciated if it is in good faith, but at this stage I need some advice from people who have done this or similar before.


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