Paytm’s parent company, One97 Communications on has granted 3.97 million new stock options under its existing ESOP plan to its employees. The exercise price of these stock options is Rs 9 each, The Economic Times reported citing the digital payment firm’s stock exchange filing. It must be noted that One97 Communications’s share price is trading at one of its lowest since the listing in November last year. The company was trading at Rs 559.8 apiece in Monday morning trade, down 1.47% since market close on May 6. The stock price had pummelled almost 74% from its IPO price of Rs 2,150 per share.
The startup also informed that it has also allotted 177,114 equity shares to employees, who have exercised their options. Of this, 77,278 equity shares were exercised under ESOP 2019 scheme while the remaining 99,836 equity shares were exercised under the Employee Stock Option Plan 2008.
“Consequent to aforesaid allotment, the issued, subscribed and paid-up equity share capital of the company stand increased from approximately 64,85,67,292 (consisting of 64,85,67,292 equity shares of face value of Rs 1 each) to approximately 64,87,44,406 (consisting of 64,87,44,406 equity shares of face value of Rs 1 each),” said ET reported citing the Paytm’s exchange filing.
The company, however, did not disclose the number of employees who will be benefited after this grant. The fintech giant further clarified that the scheme also provides for the manner in which options would be dealt with in case of death, permanent incapacity, resignation, termination, retirement, and abandonment.
In April, the Paytm founder, Vijay Shekhar Sharma said in a letter to company shareholders that his stock grants will vest only after Paytm’s shares crossed the IPO price on a sustained basis.