Fundrise's own funds sold $45M of VCX. Retail unlocks Thursday.

Everyone is watching Thursday's lockup expiry. The SEC filings show the more interesting trade already happened, and retail wasn't in it.

What the Form 144s say

Rule 144 forces affiliates of a company to file a public notice before selling restricted stock, and to disclose everything they sold in the prior three months. VCX's filings are worth reading.

Between June 2 and July 31, an entity registered at Fundrise's own headquarters sold 559,976 VCX shares for $45,205,032. Nearly every trading day. Average realised price: $80.73.

VCX closed at $34.45 on Friday, August 7.

So the sponsor side averaged roughly 2.3x today's price, and about 4.3x the fund's own net asset value. Meanwhile the ~100,000 ordinary restricted holders could not sell a single share. Their lockup lifts Thursday, and they can finally sell on Friday.

On August 3, ten days before that unlock, a second Fundrise fund filed to sell another 353,788 shares, about $11.7M, through Jefferies.

The part I want to be fair about

These sales are legal and they were disclosed exactly as the rules require. Form 144 exists so this reaches the market, and Fundrise filed it properly. Nothing here suggests wrongdoing.

But "legal and disclosed" is not the same as "irrelevant to you." If you are deciding what to do at an 82% premium to NAV, the fact that the sponsor's own vehicles have been steady sellers into that premium is information you are entitled to weigh. Almost nobody reported it, because it requires opening the filings.

The supply wall was supposed to arrive on August 14. A good part of it has been arriving since June.

I also owe you a correction. We had been publishing VCX's NAV as $18.43 per share. That figure was wrong, and I could not substantiate it against any primary source. The audited number in the fund's own SEC filing is $18.97 ($678,918K in net assets across 35,797,138 shares). Every premium figure on the site is now recalculated against it, and the correction is stated on the page rather than quietly patched. If you acted on the old number, I'm sorry.

Read the full filing breakdown →

Jorge