Exclusive: Walmart-Backed Ninjacart Doubles ESOP Pool Size To INR 345 Cr

Walmart-backed agritech startup Ninjacart has expanded its ESOP pool by over 100%. In an extraordinary general meeting on August 18, 2022, the Bengaluru-based startup passed a resolution to increase its ESOP pool size to 6,522 shares from the existing 3,156 shares. 

Considering Ninjacart’s share price of INR 52,8892 (including premium) based on its Series D round of funding last year, the ESOP pool size has been increased by INR 178 Cr ($22.3 Mn), taking the ESOP pool of ‘63Ideas Infolabs Private Limited Amended Employees Stock Option Plan 2022’ to INR 345 Cr ($43.2 Mn). 

63Ideas Infolabs Private Limited is the parent company of Ninjacart.

This is the second time within a year that Ninjacart has expanded its ESOP pool size. In April, the startup expanded its ESOP pool size to INR 170 Cr ($21.3 Mn). 

The latest development comes almost nine months after Ninjacart launched an ESOP buyback program worth INR 100 Cr. Both current and former employees of the startup with vested ESOPs as of December last year were eligible to participate in the buyback program.

The ESOP buyback exercise took place almost immediately after Ninjacart announced raising $145 Mn from US-based retailer Walmart and Indian ecommerce giant Flipkart. The funding helped Ninjacart inch closer to unicorn valuation. 

Ninjacart, founded by Thirukumaran Nagarajan, Sharath Loganathan, Sachin Jose, Kartheeswaran KK and Vasudevan Chinnathambi in 2015, sources fruits, vegetables and other groceries from farmers and suppliers to sell them to supermarkets, kirana stores and other retailers. 

Currently, the startup operates in around 150 markets. Earlier this year, it acquired Tecxprt, a platform which automates and streamlines business processes. 

The Walmart-backed startup saw its total loss double to INR 1,021 Cr in the financial year ending on March 31, 2021 (FY21). It had posted a loss of INR 537.2 Cr in FY20. Ninjacart’s operating revenue jumped 60% to INR 747.6 Cr in FY21 from INR 469 Cr in FY20, while expenses also surged 71% to INR 1,790 Cr from INR 1,045 Cr in the previous year. 

As per an Inc42 report, India’s agritech sector is expected to reach a size of $24 Bn by 2025, while its subset market linkage is likely to provide a market opportunity of $12 Bn by 2025. Indian agritech startups raised aggregate funding of $2 Bn across 223 deals between 2014 and the first half of 2022. 

Ninjacart competes with the likes of WayCool Foods and FarmLink in the market linkage subsector. 

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