What are the lock-up provisions for pre-IPO shareholders detailed in DarkIris's August 2025 IPO filings?

DarkIris Inc.'s August 2025 IPO filings detail specific lock-up provisions designed to stabilize the stock price post-offering by restricting the sale of shares by pre-IPO stakeholders.

Key aspects of these lock-up agreements include:

• Duration: The lock-up period for DarkIris Inc. (US:DKI) is set for six (6) months from the Closing Date of the Initial Public Offering. This applies to both the company itself and designated pre-IPO shareholders.
• Parties Subject to Lock-Up: The restrictions apply to the Company, its executive officers, directors, and any security holders owning 5% or more of the Ordinary Shares, as identified in Schedule III of the filing.
• Restricted Activities: During this six-month period, these parties are generally prohibited from offering, selling, contracting to sell, pledging, granting options, making short sales, lending, or otherwise disposing of their shares or any securities convertible into or exercisable for shares.
• Permitted Exceptions: The lock-up agreement includes certain exceptions, such as transfers not involving a disposition for value (e.g., gifts, transfers to affiliates, or family trusts), provided the transferee agrees to be bound by the lock-up terms and no Section 16(a) filing is required or voluntarily made. The exercise of stock options is also permitted, though the shares acquired through such exercise remain subject to the lock-up.
• Waiver Mechanism: The Underwriters have the discretion to waive or release these lock-up restrictions. Any such waiver or release requires prior written consent from the Underwriters and must be announced via a press release through a major news service at least two business days before its effectiveness.

These provisions are standard practice in IPOs to prevent an immediate flood of shares onto the market, which could exert downward pressure on the stock price shortly after listing.