PhonePe announces buyback of Esop shares worth Rs 135 crore
Company's founders will not be participating in the buyback, while the top leadership can sell up to 10% of their vested stock
Digital payments platform PhonePe has announced a buyback of employee stock options (ESOPs) worth Rs 135 crore. The buyback offer follows a three-tier model, based on seniority, a statement said on Friday.
The company’s founders will not be participating in the buyback, while the top leadership can sell up to 10% of their vested stock, it added. All other current employees can sell up to 25% of their vested stock. The company currently has over 2,500 employees.
75% of workforce eligible for ESOPs
“Last December, we launched a new PhonePe ESOPs plan and issued ESOPs to 100% of our employees across levels, functions and grades. All these employees will complete the one year cliff of their stock vesting next month, so it’s a great time to offer some liquidity to everyone,” PhonePe Head of HR Manmeet Sandhu said.
Sandhu added that almost 75% of PhonePe’s current workforce is eligible to participate in the buyback offer, and “for most it’s the first time in their careers that they’ve either owned ESOPs or had a chance to liquidate them”.
In December last year, PhonePe launched its ESOPs programme, under which it allotted ESOPs to all its 2,200 employees starting at a minimum of Rs 3.5 lakh, cumulatively worth Rs 1,500 crore.