Tracxn Technologies, a leading market intelligence platform, has announced the allotment of 3.6 Lakh equity shares to eligible employees under its Employee Stock Option Plan 2016 (ESOP 2016).
This move aims to enhance employee engagement and align their interests with the long-term success of the company.
According to an exchange filing made on Saturday, July 6, the startup disclosed that its Nomination and Remuneration Committee has approved the allotment at an exercise price of INR 1 per equity share.
At the last closing price of the company’s stock, these shares are valued at approximately INR 3.5 Crore.
Following this latest allotment, Tracxn’s total paid-up share capital has increased marginally from INR 10.41 Crore to INR 10.44 Crore.
The ESOP 2016 allows eligible employees to exercise their options within a five-year period from the date of vesting. This development marks the third issuance of shares under the ESOP 2016 plan this year.
In June, Tracxn allotted 2.06 Lakh shares, contributing to the earlier increase in paid-up share capital from INR 10.39 Crore to INR 10.41 Crore.
In May, the company allotted 1.99 Lakh shares under the same plan.
Tracxn’s commitment to rewarding its employees through equity ownership comes amidst its financial performance updates for the fiscal year 2023-24.
The company reported a profit after tax (PAT) of INR 1.42 Cr in the quarter ending March 2024 (Q4) in the financial year 2023-24 (FY24). This represents a sequential decline of 36% from Q3 FY24’s INR 2.2 Cr.
As of the end of March 2024, Tracxn had 71.97 Lakh ESOPs granted and outstanding, underscoring its broad-based employee ownership strategy.
Tracxn’s stock performance has seen volatility, notably declining in May following the release of its earnings report but rebounding with a strong performance in June.
Over the past month, the stock has surged by over 11% on the Bombay Stock Exchange (BSE), closing at INR 96.87 on Friday, June 5.
The allocation of 3.6 Lakh shares under the ESOP 2016 plan signifies Tracxn’s continued efforts to strengthen its workforce’s alignment with company objectives and foster a culture of ownership and performance-driven growth.
As the company navigates evolving market dynamics, its strategic focus on employee engagement and retention through equity incentives remains pivotal to sustaining long-term business success.
