One 97 Communications Limited, the parent company of digital payment giant Paytm, has announced the allotment of 2,54,908 equity shares to its employees under its Employee Stock Option Schemes (ESOP).
The allotment, which was approved by the Nomination and Remuneration Committee of the Board on September 4, 2024, included 2,54,288 equity shares under the ESOP 2019 and 620 equity shares under the ESOP 2008.
The newly issued shares have a face value of ₹1 each, with an exercise price of ₹9 per share.
Following this allotment, Paytm’s issued, subscribed, and paid-up equity share capital has increased from ₹636,384,447 to ₹636,639,355, bringing the total number of equity shares to 636,639,355.
The new shares will rank pari-passu with existing equity shares, meaning they will carry the same rights as the company’s current shares.
This development comes amidst a broader trend of equity share allotments by new age tech startups to their employees.
Honasa, the parent company of personal care brand Mamaearth, has approved the allotment of 5,79,849 equity shares to its employees under its Employee Stock Option Plan (ESOP).
This move follows a similar pattern seen in other tech giants.
Last week, foodtech leader Zomato allotted 38.72 lakh equity shares to its employees, reflecting its strategy to incentivize and retain talent amidst a competitive market.
Additionally, beauty and fashion e-commerce platform Nykaa recently allocated 1.73 lakh equity shares under its ESOP scheme.
In other recent update, Paytm has recently sold its entertainment and ticketing business to Zomato for INR 2,048 crore. Paytm also received government approval for its investment in Paytm Payment Services Limited, allowing it to apply for a payment aggregator licence.
In the stock market, Paytm’s shares closed today’s trading session 3.11% higher at INR 614.10 on the BSE.
