Veefin Allots Shares Worth INR 8.2 Cr Under ESOP Scheme

SUMMARY

Veefin Solutions’s board has approved the allotment of 2 Lakh equity shares to its eligible employees under the employee stock option plan

Based on the stock’s last close, the newly allotted equity shares are worth INR 8.2 Cr

With the fresh allotment, the issued and paid-up equity share capital of Veefin has increased to INR 23.97 Cr from INR 23.77 Cr earlier

Fintech company Veefin Solutions’s board has approved the allotment of 2 Lakh equity shares to its eligible employees under the employee stock option plan (ESOP).

Based on the stock’s last close, the newly allotted equity shares are worth INR 8.2 Cr.

In an exchange filing on Tuesday (February 25), the company said that its board approved the allotment of 2,00,000 equity shares at a face value of INR 10 each to the benefit of eligible employees upon exercise of their options under the ESOP Scheme.

With the fresh allotment, the issued and paid-up equity share capital of Veefin has increased to INR 23.97 Cr from INR 23.77 Cr earlier.

Founded in 2020 by Gautam Udani and Raja Debnath, Veefin Solutions provides a supply chain financing platform to financial institutions and enterprises. It debuted on the BSE SME platform on July 5, 2023, at INR 82 per share.

This development comes at a time when the company looks to sharpen its inorganic strategy. Udani aims to build a team of 20 leaders and believes that acquisitions will help in driving the company’s leadership roles.

Earlier this month, Veefin said in an exchange filing that it was looking to pick up a controlling stake of 49% in digital marketing agency White Rivers Media for INR 166.6 Cr via its subsidiary Infini Systems Limited.

In December last year, the company acquired Singapore-based GenAI startup Walnut AI.

On the financial side, Veefin Solutions reported a profit of INR 4.13 Cr in the second quarter of fiscal year 2024-25, up 325% from INR 97.98 Lakh in the previous fiscal year. Further, its operating revenue rose 112% to INR 19.08 Cr from INR 9.05 Cr in Q2 FY24.

Meanwhile, acquisitions have been on a rise in the Indian startup ecosystem on the back of diversifying business offerings and overseas expansions.

For instance, InCred acquired TruCap Finance’s gold loan division, listed gaming major Nazara picked a majority stake in Mumbai-based Funky Monkeys Play Centers and Flipkart-backed super.money bought buy-now-pay-later (BNPL) fintech startup BharatX, only a day ago.