Nykaa, the beauty and personal care marketplace, has allocated 1.73 lakh equity shares under its Employee Stock Options Scheme (ESOP), according to a regulatory filing on Monday.
The allotment represents the exercise of vested stock options by employees, marking Nykaa’s third ESOP grant of the financial year. Previously, the company allotted 4.73 lakh equity shares in a recent grant and 4.05 lakh stock options in May, just ahead of its quarterly financial report.
ESOPs are crucial for attracting and retaining talent, providing employees with opportunities to benefit from the company’s growth and performance.
In similar moves within the industry, Zomato approved grants totaling 40 million stocks, while One97 Communications, parent company of Paytm, allotted 2.8 lakh equity shares under its ESOP programme. Swiggy, preparing for its public listing, announced its fifth ESOP liquidity event amounting to $65 million, continuing its commitment to employee stock options since October 2021.
These developments underscore the growing trend among tech and startup firms to leverage ESOPs as a tool for incentivizing and rewarding their workforce amidst competitive market conditions.
