Zomato allocates ESOPs valued at Rs 2.5 crore

Food delivery giant Zomato has allocated Employee Stock Option Plans (ESOPs) worth Rs 2.52 crore to selected employees and subsidiaries, as stated in a recent BSE filing. The company's Board approved the allotment of 2,52,59,179 fully paid-up shares with a face value of Re 1 each. Among these, around 48 lakh shares will be granted as sweat equity to identified employees under the Zomato Employee Stock Option Plan 2018. Last year, Zomato's CEO Deepinder Goyal pledged to donate the proceeds of his vested employee stock options to the Zomato Future Foundation (ZFF), with ESOPs valued at nearly Rs 700 crore according to reports.

For the second half of FY23, ESOPs granted to Goyal cost the company Rs 143 crore, as disclosed in related party transactions filings. The total ESOP cost to key managerial personnel, including CFO Akshant Goyal and company secretary Sandhya Sethia, amounted to Rs 156 crore. Akshant and Sethia received ESOPs valued at Rs 13.5 crore and Rs 10 lakh, respectively.

In the last quarter of FY23, Zomato's revenue witnessed an impressive 70% growth, driven by strong performance in the restaurants supplies vertical Hyperpure. Concurrently, the company managed to reduce losses to Rs 188.2 crore, marking a 47% decline compared to the corresponding period of the previous year.

Also Read: Zomato hires Anmol Gupta as Chief Fitness Officer to lead the charge on employee wellness and fitness

Zomato is set to unveil its financial performance for the first quarter of FY24 on August 3. In a recent move, the company initiated liquidation proceedings for its wholly-owned subsidiary, Zomato Media (ZM) Portugal, citing its insignificance as a material subsidiary with no active business operations. On Tuesday, Zomato's shares traded 1.25% higher at Rs 85.15 apiece.