CarTrade Expands ESOP Pool With Allotment Of 28K Stock Options

SUMMARY

CarTrade has allotted the shares to the eligible employees pursuant to the exercise of vested options under ESOP 2014 and ESOP 2015.

While 26,000 shares have been allotted under ESOP 2014, the remaining 2,000 shares have been allotted under ESOP 2015.

The fresh allotment comes months after the auto marketplace set aside an additional 3.04 Lakh equity shares under its ESOP schemes in April this year.

Auto marketplace CarTrade Tech has expanded its employee stock option plan (ESOP) pool by allotting an additional 28,000 stock options to its employees.

In an exchange filing, the company said that its board has approved the allotment of shares to the eligible employees pursuant to the exercise of vested options under ESOP 2014 and ESOP 2015.

As per the stock’s last closing, the value of these shares translate to INR 2.34 Cr.

The company has allotted 26,000 shares under ESOP 2014 for an exercise price of INR 34 per share. The remaining 2,000 shares have been allotted under ESOP 2015 at an exercise price of INR 472 per share.

Following this, the company’s paid-up share capital has increased to INR 47.23 Cr from INR 47.20 Cr earlier.

The fresh allotment comes months after CarTrade set aside an additional 3.04 Lakh equity shares under its ESOP schemes in April this year.

Founded in 2009 by Vinay Sanghi and Rajan Mehra, CarTrade operates an auto marketplace selling products across all vehicle types and value-added services.

It counts brands like CarWale, BikeWale, CarTradeExchange, Shriram Automall, Adroit Auto, and Autobiz under its belt. Besides, the company provides services for buying and selling new and used vehicles, as well as technology solutions for OEMs and dealers.

The company competes with players like CarDekho, Droom, and CARS24 in the growing online automotive classifieds market in India.

CarTrade saw its profit after tax jump 43% year-on-year (YoY) to INR 25 Cr in the fourth quarter (Q4) of the financial year 2023-24 (FY24). Operating revenue zoomed 51.5% YoY to INR 145.3 Cr during the quarter.

ESOPs are increasingly being used by companies and startups to attract and retain talent. In recent times, a number of listed new-age tech companies have allotted ESOPs.

Earlier today, Inc42 reported that fintech giant Paytm has allotted 2.81 Lakh shares. Besides, the likes of Delhivery, Tracxn, and RateGain have also allotted ESOPs to their employees in the last week or so.

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