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Strategies & Market Trends : Due Diligence - How to Investigate a Stock

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To: rjee who wrote (495)5/28/1999 9:49:00 AM
From: Henry Volquardsen  Read Replies (2) of 752
 
144 filings are done to lift trading restrictions from restricted stock. As an example, when a company does a private placement to sell new shares the new shares will be restricted for some period of time and can not be traded or used for margin. In order to lift this restriction you need to file. This informs the market that there are additional shares in the float. The filing doesn't necessarily mean the shares have been sold or that the holder intends to, it just means that the shares are now available to be sold or lent.
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