On a Friday Request, Robinhood Asks SEC to Approve Accelerate Insider Stock Sales

Posted on 10/09/2021

On October 8, 2021, Robinhood Markets, Inc. requested the U.S. SEC to approve accelerated insider stock sales. The shares being registered were issued through the automatic conversion of Tranche 1 convertible notes in connection with Robinhood’s initial public offering. Robinhood seeks to declare the Resale S-1 effective at 4:30 PM ET on October 13, 2021. Robinhood will publicly announce when sales may be made off the Resale S-1.

Robinhood’s revenues are currently substantially dependent on Payment For Order Flow (PFOF) and Transaction Rebates. Robinhood’s transaction-based revenue model could be harmed by decreased levels of trading generally or by industry or regulatory changes that could tighten spreads on transactions.

    Get News, People, and Transactions, Delivered to Your Inbox