Michael Kors Holdings (KORS): On Dec. 14, 2011, Michael Kors priced 47.2 million shares at $20 each. Its 180-day lock-up period expires on June 11, 2012. (Underwriters collected $47.2 million in fees and commissions.)
On March 22, Michael Kors priced a follow-on offering of 25 million shares at $28.25 each. Selling shareholders offered all 25 million shares. (Underwriters collected $35.3 million in fees and commissions.)
Conclusion: Insiders don’t have to wait for the lock-up period’s expiration to roll around to jettison stock. It’s this simple: Pick up the phone, call the underwriter and ask “permission” to float a follow-on offering.