ixigo Expands ESOP Pool, Allots 17.57 Lakh Stock Options

SUMMARY

The options will vest over a period of four years in equal annual instalments of 25% each, with each option converting into an equivalent number of equity shares

The options have been granted at an exercise price of INR 93 per share. The company’s shares ended today’s trading session 2.59% lower at INR 143.05 on the BSE

ixigo reported a 51% decline in its consolidated net profit to INR 13.08 Cr during the September quarter of 2024 from INR 26.70 Cr in the year-ago quarter

Online travel aggregator (OTA) Ixigo has expanded its employee stock option plan (ESOP) with the grant of 17.57 Lakh stock options under ESOP 2024.

In an exchange filing, the company said that its nomination and remuneration committee approved the grant of 17,57,156 options under ESOP 2024.

The options will vest over a period of four years in equal annual installments of 25% each, with each option converting into an equivalent number of equity shares.

The options have been granted at an exercise price of INR 93 per share. The company’s shares ended today’s trading session 2.59% lower at INR 143.05 on the BSE.

As is the case behind granting ESOPs, ixigo said that the idea behind the allotment is to retain and reward the best talent. Further, the company also said that it wants to provide additional deferred rewards to the existing employees.

The development comes days after ixigo reported its financials for the second quarter of FY25. Its consolidated net profit declined 51% to INR 13.08 Cr during the September quarter of 2024 from INR 26.70 Cr in the year-ago quarter. Profit declined 12% on a sequential basis from INR 14.85 Cr.

The primary reason behind the decline in profit was a rise in total tax expenses, which stood at INR 5.26 Cr in Q2 FY25.

Along with its financials, the company also announced the acquisition of a 51% stake in train food delivery startup Zoop Web Services for INR 12.54 Cr ($1.4 Mn) through a combination of primary and secondary share purchases.

In the last few months, a number of listed startups have announced grant of stock options under ESOP programmes. Earlier today, drone startup ideaForge allotted over 2,600 stock options to its employees.

Earlier this month, logistics giant Delhivery also allotted about 73,000 stock options to employees.

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